MADISON SQUARE GARDEN SPORTS (MSGS) Stock Fundamental Analysis
USA - NYSE:MSGS - US55825T1034 - Common Stock
223.55 USD
+1.63 (+0.73%)
223.55 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to MSGS. MSGS was compared to 80 industry peers in the Entertainment industry. MSGS has a bad profitability rating. Also its financial health evaluation is rather negative. MSGS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MSGS has reported negative net income.
In the past year MSGS had a positive cash flow from operations.
In multiple years MSGS reported negative net income over the last 5 years.
Of the past 5 years MSGS 4 years had a positive operating cash flow.
1.2 Ratios
MSGS has a Return On Assets (-1.52%) which is in line with its industry peers.
MSGS has a Return On Invested Capital of 1.25%. This is in the better half of the industry: MSGS outperforms 61.25% of its industry peers.
MSGS had an Average Return On Invested Capital over the past 3 years of 7.74%. This is in line with the industry average of 9.25%.
The 3 year average ROIC (7.74%) for MSGS is well above the current ROIC(1.25%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.52% | ||
| ROE | N/A | ||
| ROIC | 1.25% |
ROA(3y)2.11%
ROA(5y)1.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.74%
ROIC(5y)N/A
1.3 Margins
MSGS has a Operating Margin (1.42%) which is in line with its industry peers.
MSGS's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 33.84%, MSGS is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
MSGS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.42% | ||
| PM (TTM) | N/A | ||
| GM | 33.84% |
OM growth 3Y-48.58%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.62%
GM growth 5Y-3.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MSGS is destroying value.
Compared to 1 year ago, MSGS has more shares outstanding
Compared to 5 years ago, MSGS has about the same amount of shares outstanding.
Compared to 1 year ago, MSGS has an improved debt to assets ratio.
2.2 Solvency
MSGS has an Altman-Z score of 2.18. This is not the best score and indicates that MSGS is in the grey zone with still only limited risk for bankruptcy at the moment.
MSGS has a better Altman-Z score (2.18) than 66.25% of its industry peers.
The Debt to FCF ratio of MSGS is 3.31, which is a good value as it means it would take MSGS, 3.31 years of fcf income to pay off all of its debts.
MSGS has a Debt to FCF ratio of 3.31. This is in the better half of the industry: MSGS outperforms 77.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.31 | ||
| Altman-Z | 2.18 |
ROIC/WACC0.15
WACC8.58%
2.3 Liquidity
MSGS has a Current Ratio of 0.45. This is a bad value and indicates that MSGS is not financially healthy enough and could expect problems in meeting its short term obligations.
MSGS has a Current ratio of 0.45. This is amonst the worse of the industry: MSGS underperforms 80.00% of its industry peers.
A Quick Ratio of 0.45 indicates that MSGS may have some problems paying its short term obligations.
The Quick ratio of MSGS (0.45) is worse than 78.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for MSGS have decreased strongly by -137.86% in the last year.
The Revenue has been growing slightly by 1.18% in the past year.
Measured over the past years, MSGS shows a quite strong growth in Revenue. The Revenue has been growing by 11.49% on average per year.
EPS 1Y (TTM)-137.86%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-106.6%
Revenue 1Y (TTM)1.18%
Revenue growth 3Y8.16%
Revenue growth 5Y11.49%
Sales Q2Q%-10.25%
3.2 Future
MSGS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.82% yearly.
Based on estimates for the next years, MSGS will show a small growth in Revenue. The Revenue will grow by 3.19% on average per year.
EPS Next Y54.27%
EPS Next 2Y43.27%
EPS Next 3Y24.82%
EPS Next 5YN/A
Revenue Next Year0.89%
Revenue Next 2Y2.87%
Revenue Next 3Y3.19%
Revenue Next 5YN/A
3.3 Evolution
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
The Price/Earnings Ratio is negative for MSGS. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for MSGS. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MSGS is on the same level as its industry peers.
MSGS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 61.03 | ||
| EV/EBITDA | 302.5 |
4.3 Compensation for Growth
MSGS's earnings are expected to grow with 24.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y43.27%
EPS Next 3Y24.82%
5. Dividend
5.1 Amount
No dividends for MSGS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
223.55
+1.63 (+0.73%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners77.11%
Inst Owner ChangeN/A
Ins Owners2.39%
Ins Owner Change6.03%
Market Cap5.37B
Analysts80
Price Target256.83 (14.89%)
Short Float %5.08%
Short Ratio4.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.03
Dividend Growth(5Y)N/A
DP-2.82%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-50.91%
Min EPS beat(2)-141.27%
Max EPS beat(2)39.44%
EPS beat(4)2
Avg EPS beat(4)-30.23%
Min EPS beat(4)-141.27%
Max EPS beat(4)64.86%
EPS beat(8)5
Avg EPS beat(8)9.74%
EPS beat(12)7
Avg EPS beat(12)-6.54%
EPS beat(16)9
Avg EPS beat(16)15.93%
Revenue beat(2)1
Avg Revenue beat(2)13.16%
Min Revenue beat(2)-3.05%
Max Revenue beat(2)29.38%
Revenue beat(4)2
Avg Revenue beat(4)11.36%
Min Revenue beat(4)-3.05%
Max Revenue beat(4)29.38%
Revenue beat(8)5
Avg Revenue beat(8)18.35%
Revenue beat(12)9
Avg Revenue beat(12)14.8%
Revenue beat(16)10
Avg Revenue beat(16)12.59%
PT rev (1m)2.03%
PT rev (3m)3%
EPS NQ rev (1m)-12.75%
EPS NQ rev (3m)-13.59%
EPS NY rev (1m)0%
EPS NY rev (3m)-125.24%
Revenue NQ rev (1m)-1.41%
Revenue NQ rev (3m)-16.73%
Revenue NY rev (1m)-0.49%
Revenue NY rev (3m)-3.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 5.17 | ||
| P/FCF | 61.03 | ||
| P/OCF | 58.62 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 302.5 |
EPS(TTM)-0.92
EYN/A
EPS(NY)-0.42
Fwd EYN/A
FCF(TTM)3.66
FCFY1.64%
OCF(TTM)3.81
OCFY1.71%
SpS43.26
BVpS-11.72
TBVpS-25.46
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.52% | ||
| ROE | N/A | ||
| ROCE | 1.63% | ||
| ROIC | 1.25% | ||
| ROICexc | 1.48% | ||
| ROICexgc | 2.55% | ||
| OM | 1.42% | ||
| PM (TTM) | N/A | ||
| GM | 33.84% | ||
| FCFM | 8.47% |
ROA(3y)2.11%
ROA(5y)1.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.74%
ROIC(5y)N/A
ROICexc(3y)8.5%
ROICexc(5y)N/A
ROICexgc(3y)14.98%
ROICexgc(5y)N/A
ROCE(3y)10.02%
ROCE(5y)N/A
ROICexcg growth 3Y-45.45%
ROICexcg growth 5YN/A
ROICexc growth 3Y-44.77%
ROICexc growth 5YN/A
OM growth 3Y-48.58%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.62%
GM growth 5Y-3.48%
F-Score4
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.31 | ||
| Debt/EBITDA | 16.14 | ||
| Cap/Depr | 112.52% | ||
| Cap/Sales | 0.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 508.19% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 2.18 |
F-Score4
WACC8.58%
ROIC/WACC0.15
Cap/Depr(3y)91.68%
Cap/Depr(5y)60.4%
Cap/Sales(3y)0.32%
Cap/Sales(5y)0.24%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-137.86%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-106.6%
EPS Next Y54.27%
EPS Next 2Y43.27%
EPS Next 3Y24.82%
EPS Next 5YN/A
Revenue 1Y (TTM)1.18%
Revenue growth 3Y8.16%
Revenue growth 5Y11.49%
Sales Q2Q%-10.25%
Revenue Next Year0.89%
Revenue Next 2Y2.87%
Revenue Next 3Y3.19%
Revenue Next 5YN/A
EBIT growth 1Y-89.85%
EBIT growth 3Y-44.39%
EBIT growth 5YN/A
EBIT Next Year112.25%
EBIT Next 3Y-30.01%
EBIT Next 5YN/A
FCF growth 1Y-2.97%
FCF growth 3Y-20.81%
FCF growth 5YN/A
OCF growth 1Y-0.57%
OCF growth 3Y-19.88%
OCF growth 5Y91.04%