MADISON SQUARE GARDEN ENTERT (MSGE) Stock Fundamental Analysis
NYSE:MSGE - US5582561032 - Common Stock
41.44 USD
-0.06 (-0.14%)
41.44 USD
0 (0%)
MSGE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 79 industry peers in the Entertainment industry. While MSGE is still in line with the averages on profitability rating, there are concerns on its financial health. MSGE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MSGE was profitable.
MSGE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MSGE reported negative net income in multiple years.
Of the past 5 years MSGE 4 years had a positive operating cash flow.
1.2 Ratios
MSGE's Return On Assets of 2.24% is fine compared to the rest of the industry. MSGE outperforms 69.62% of its industry peers.
The Return On Invested Capital of MSGE (9.09%) is better than 81.01% of its industry peers.
MSGE had an Average Return On Invested Capital over the past 3 years of 9.68%. This is significantly below the industry average of 20.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | N/A | ||
| ROIC | 9.09% |
ROA(3y)5.67%
ROA(5y)-0.92%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.68%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 3.97%, MSGE is doing good in the industry, outperforming 70.89% of the companies in the same industry.
In the last couple of years the Profit Margin of MSGE has declined.
MSGE's Operating Margin of 14.25% is amongst the best of the industry. MSGE outperforms 84.81% of its industry peers.
MSGE's Gross Margin of 43.18% is in line compared to the rest of the industry. MSGE outperforms 48.10% of its industry peers.
In the last couple of years the Gross Margin of MSGE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.25% | ||
| PM (TTM) | 3.97% | ||
| GM | 43.18% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y-32.98%
GM growth 3Y4.85%
GM growth 5Y3.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MSGE is still creating some value.
Compared to 1 year ago, MSGE has less shares outstanding
MSGE has more shares outstanding than it did 5 years ago.
MSGE has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.47, we must say that MSGE is in the distress zone and has some risk of bankruptcy.
MSGE's Altman-Z score of 1.47 is in line compared to the rest of the industry. MSGE outperforms 56.96% of its industry peers.
MSGE has a debt to FCF ratio of 6.44. This is a slightly negative value and a sign of low solvency as MSGE would need 6.44 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.44, MSGE is in the better half of the industry, outperforming 60.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.44 | ||
| Altman-Z | 1.47 |
ROIC/WACC1.2
WACC7.57%
2.3 Liquidity
A Current Ratio of 0.47 indicates that MSGE may have some problems paying its short term obligations.
MSGE's Current ratio of 0.47 is on the low side compared to the rest of the industry. MSGE is outperformed by 79.75% of its industry peers.
A Quick Ratio of 0.46 indicates that MSGE may have some problems paying its short term obligations.
The Quick ratio of MSGE (0.46) is worse than 78.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
The earnings per share for MSGE have decreased strongly by -68.06% in the last year.
MSGE shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -25.26% yearly.
Looking at the last year, MSGE shows a decrease in Revenue. The Revenue has decreased by -1.72% in the last year.
The Revenue has been growing by 10.03% on average over the past years. This is quite good.
EPS 1Y (TTM)-68.06%
EPS 3YN/A
EPS 5Y-25.26%
EPS Q2Q%-138.3%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y12.99%
Revenue growth 5Y10.03%
Sales Q2Q%-17.16%
3.2 Future
MSGE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 34.85% yearly.
MSGE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.53% yearly.
EPS Next Y88.13%
EPS Next 2Y48.9%
EPS Next 3Y34.85%
EPS Next 5YN/A
Revenue Next Year6.47%
Revenue Next 2Y5.63%
Revenue Next 3Y5.53%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 41.86, MSGE can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of MSGE indicates a somewhat cheap valuation: MSGE is cheaper than 74.68% of the companies listed in the same industry.
MSGE's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.07.
MSGE is valuated rather expensively with a Price/Forward Earnings ratio of 22.25.
Based on the Price/Forward Earnings ratio, MSGE is valued cheaply inside the industry as 81.01% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of MSGE to the average of the S&P500 Index (22.59), we can say MSGE is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.86 | ||
| Fwd PE | 22.25 |
4.2 Price Multiples
MSGE's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. MSGE is cheaper than 73.42% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MSGE is valued cheaper than 83.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.13 | ||
| EV/EBITDA | 13.15 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MSGE's earnings are expected to grow with 34.85% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.47
PEG (5Y)N/A
EPS Next 2Y48.9%
EPS Next 3Y34.85%
5. Dividend
5.1 Amount
No dividends for MSGE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
41.44
-0.06 (-0.14%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners99%
Inst Owner Change17.31%
Ins Owners2.79%
Ins Owner Change-0.41%
Market Cap1.97B
Analysts82.86
Price Target45.73 (10.35%)
Short Float %3.75%
Short Ratio4.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.64%
Min EPS beat(2)-41.81%
Max EPS beat(2)34.53%
EPS beat(4)2
Avg EPS beat(4)3.2%
Min EPS beat(4)-41.81%
Max EPS beat(4)50.09%
EPS beat(8)4
Avg EPS beat(8)32.79%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)1.05%
Min Revenue beat(2)-0.74%
Max Revenue beat(2)2.85%
Revenue beat(4)1
Avg Revenue beat(4)-0.24%
Min Revenue beat(4)-2.49%
Max Revenue beat(4)2.85%
Revenue beat(8)3
Avg Revenue beat(8)-0.47%
Revenue beat(12)5
Avg Revenue beat(12)-6.21%
Revenue beat(16)6
Avg Revenue beat(16)-12.04%
PT rev (1m)-0.09%
PT rev (3m)2.77%
EPS NQ rev (1m)3.49%
EPS NQ rev (3m)-1.35%
EPS NY rev (1m)-6.15%
EPS NY rev (3m)-8.06%
Revenue NQ rev (1m)7.33%
Revenue NQ rev (3m)7.33%
Revenue NY rev (1m)-0.2%
Revenue NY rev (3m)-0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.86 | ||
| Fwd PE | 22.25 | ||
| P/S | 2.09 | ||
| P/FCF | 21.13 | ||
| P/OCF | 17.06 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.15 |
EPS(TTM)0.99
EY2.39%
EPS(NY)1.86
Fwd EY4.49%
FCF(TTM)1.96
FCFY4.73%
OCF(TTM)2.43
OCFY5.86%
SpS19.86
BVpS-0.28
TBVpS-3.08
PEG (NY)0.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | N/A | ||
| ROCE | 11.51% | ||
| ROIC | 9.09% | ||
| ROICexc | 9.44% | ||
| ROICexgc | 10.7% | ||
| OM | 14.25% | ||
| PM (TTM) | 3.97% | ||
| GM | 43.18% | ||
| FCFM | 9.87% |
ROA(3y)5.67%
ROA(5y)-0.92%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.68%
ROIC(5y)N/A
ROICexc(3y)10.24%
ROICexc(5y)N/A
ROICexgc(3y)11.92%
ROICexgc(5y)N/A
ROCE(3y)12.26%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y-32.98%
GM growth 3Y4.85%
GM growth 5Y3.53%
F-Score7
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.44 | ||
| Debt/EBITDA | 2.96 | ||
| Cap/Depr | 38.47% | ||
| Cap/Sales | 2.36% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.01% | ||
| Profit Quality | 248.66% | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.46 | ||
| Altman-Z | 1.47 |
F-Score7
WACC7.57%
ROIC/WACC1.2
Cap/Depr(3y)36.16%
Cap/Depr(5y)29.12%
Cap/Sales(3y)2.22%
Cap/Sales(5y)4.33%
Profit Quality(3y)155.44%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-68.06%
EPS 3YN/A
EPS 5Y-25.26%
EPS Q2Q%-138.3%
EPS Next Y88.13%
EPS Next 2Y48.9%
EPS Next 3Y34.85%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y12.99%
Revenue growth 5Y10.03%
Sales Q2Q%-17.16%
Revenue Next Year6.47%
Revenue Next 2Y5.63%
Revenue Next 3Y5.53%
Revenue Next 5YN/A
EBIT growth 1Y3.69%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year72.21%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y6.88%
FCF growth 3Y5.35%
FCF growth 5Y117.78%
OCF growth 1Y3.62%
OCF growth 3Y6.52%
OCF growth 5Y29.63%