MADISON SQUARE GARDEN ENTERT (MSGE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MSGE - US5582561032 - Common Stock
60.16 USD
-0.57 (-0.94%)
60.16 USD
0 (0%)
Overall MSGE gets a fundamental rating of 4 out of 10. We evaluated MSGE against 80 industry peers in the Entertainment industry. MSGE has a medium profitability rating, but doesn't score so well on its financial health evaluation. MSGE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year MSGE was profitable.
- In the past year MSGE had a positive cash flow from operations.
- In multiple years MSGE reported negative net income over the last 5 years.
- Of the past 5 years MSGE 4 years had a positive operating cash flow.
1.2 Ratios
- MSGE's Return On Assets of 2.09% is fine compared to the rest of the industry. MSGE outperforms 75.00% of its industry peers.
- MSGE has a Return On Invested Capital of 9.64%. This is amongst the best in the industry. MSGE outperforms 86.25% of its industry peers.
- MSGE had an Average Return On Invested Capital over the past 3 years of 9.68%. This is in line with the industry average of 8.74%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.09% | ||
| ROE | N/A | ||
| ROIC | 9.64% |
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 3.65%, MSGE is doing good in the industry, outperforming 68.75% of the companies in the same industry.
- MSGE's Profit Margin has declined in the last couple of years.
- MSGE has a Operating Margin of 14.35%. This is amongst the best in the industry. MSGE outperforms 85.00% of its industry peers.
- With a Gross Margin value of 43.85%, MSGE perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of MSGE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.35% | ||
| PM (TTM) | 3.65% | ||
| GM | 43.85% |
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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MSGE is creating some value.
- Compared to 1 year ago, MSGE has less shares outstanding
- The number of shares outstanding for MSGE has been increased compared to 5 years ago.
- MSGE has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.73, we must say that MSGE is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of MSGE (1.73) is comparable to the rest of the industry.
- MSGE has a debt to FCF ratio of 4.37. This is a neutral value as MSGE would need 4.37 years to pay back of all of its debts.
- MSGE's Debt to FCF ratio of 4.37 is fine compared to the rest of the industry. MSGE outperforms 76.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.37 | ||
| Altman-Z | 1.73 |
ROIC/WACC1.01
WACC9.57%
2.3 Liquidity
- MSGE has a Current Ratio of 0.48. This is a bad value and indicates that MSGE is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Current ratio of MSGE (0.48) is worse than 80.00% of its industry peers.
- A Quick Ratio of 0.47 indicates that MSGE may have some problems paying its short term obligations.
- MSGE's Quick ratio of 0.47 is on the low side compared to the rest of the industry. MSGE is outperformed by 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.48 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
- The earnings per share for MSGE have decreased strongly by -66.67% in the last year.
- The earnings per share for MSGE have been decreasing by -25.26% on average. This is quite bad
- MSGE shows a small growth in Revenue. In the last year, the Revenue has grown by 0.68%.
- Measured over the past years, MSGE shows a quite strong growth in Revenue. The Revenue has been growing by 10.03% on average per year.
EPS 1Y (TTM)-66.67%
EPS 3YN/A
EPS 5Y-25.26%
EPS Q2Q%57.5%
Revenue 1Y (TTM)0.68%
Revenue growth 3Y12.99%
Revenue growth 5Y10.03%
Sales Q2Q%14.09%
3.2 Future
- The Earnings Per Share is expected to grow by 39.15% on average over the next years. This is a very strong growth
- Based on estimates for the next years, MSGE will show a small growth in Revenue. The Revenue will grow by 6.15% on average per year.
EPS Next Y117.39%
EPS Next 2Y54.5%
EPS Next 3Y39.15%
EPS Next 5YN/A
Revenue Next Year7.82%
Revenue Next 2Y6.71%
Revenue Next 3Y6.15%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 49.31, 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 73.75% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of MSGE to the average of the S&P500 Index (28.60), we can say MSGE is valued expensively.
- The Price/Forward Earnings ratio is 25.46, which means the current valuation is very expensive for MSGE.
- MSGE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MSGE is cheaper than 77.50% of the companies in the same industry.
- MSGE is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 25.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.31 | ||
| Fwd PE | 25.46 |
4.2 Price Multiples
- 65.00% of the companies in the same industry are more expensive than MSGE, based on the Enterprise Value to EBITDA ratio.
- 83.75% of the companies in the same industry are more expensive than MSGE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.27 | ||
| EV/EBITDA | 17.45 |
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.
- A more expensive valuation may be justified as MSGE's earnings are expected to grow with 39.15% in the coming years.
PEG (NY)0.42
PEG (5Y)N/A
EPS Next 2Y54.5%
EPS Next 3Y39.15%
5. Dividend
5.1 Amount
- MSGE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
MADISON SQUARE GARDEN ENTERT / MSGE FAQ
What is the fundamental rating for MSGE stock?
ChartMill assigns a fundamental rating of 4 / 10 to MSGE.
Can you provide the valuation status for MADISON SQUARE GARDEN ENTERT?
ChartMill assigns a valuation rating of 5 / 10 to MADISON SQUARE GARDEN ENTERT (MSGE). This can be considered as Fairly Valued.
Can you provide the profitability details for MADISON SQUARE GARDEN ENTERT?
MADISON SQUARE GARDEN ENTERT (MSGE) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for MSGE stock?
The Price/Earnings (PE) ratio for MADISON SQUARE GARDEN ENTERT (MSGE) is 49.31 and the Price/Book (PB) ratio is -43.18.
What is the expected EPS growth for MADISON SQUARE GARDEN ENTERT (MSGE) stock?
The Earnings per Share (EPS) of MADISON SQUARE GARDEN ENTERT (MSGE) is expected to grow by 117.39% in the next year.