Madison Square Garden (NYSE:MSGS) Issues Earnings Results

Madison Square Garden (NYSE:MSGS) issued its quarterly earnings data on Thursday. The company reported $0.34 earnings per share for the quarter, missing analysts’ consensus estimates of $0.66 by ($0.32), Briefing.com reports. The business had revenue of $403.42 million for the quarter, compared to analyst estimates of $394.58 million. During the same period in the prior year, the business posted $0.05 EPS. The business’s revenue for the quarter was up 12.7% on a year-over-year basis.

Here are the key takeaways from Madison Square Garden’s conference call:

• MSG Sports reported Q2 revenue of $403.4 million and Adjusted Operating Income of $29.7 million, driven by higher per‑game revenue across ticketing, suites, sponsorship and food/beverage/merchandise.
• Strong fan engagement — a combined Knicks and Rangers season ticket renewal rate of ~94% — plus centennial merchandise and partnerships (e.g., Game 7, KISS) produced record single‑game merch sales and higher per‑cap spending.
• Refinancings extended senior secured revolver maturities to November 2030, lowered borrowing costs and increased the Knicks revolver capacity by $150 million to $425 million, enhancing liquidity and financial flexibility.
• Amended local media rights with MSG Networks reduced annual rights fees by 28% for the Knicks and 18% for the Rangers, contributing to a 4% year‑over‑year decline in national and local media rights fees.
• AOI growth was partially offset by higher team personnel costs (including luxury tax) and revenue‑sharing expenses, and Q2 benefited from two extra home games versus prior year — a timing benefit that will reverse in the second half.

Madison Square Garden Trading Down 4.4%

MSGS opened at $274.75 on Friday. Madison Square Garden has a twelve month low of $173.26 and a twelve month high of $298.97. The firm has a market capitalization of $6.60 billion, a PE ratio of -280.36 and a beta of 0.61. The firm’s 50-day moving average price is $259.44 and its 200 day moving average price is $228.58.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the business. Two Sigma Investments LP grew its position in shares of Madison Square Garden by 0.4% in the third quarter. Two Sigma Investments LP now owns 11,898 shares of the company’s stock valued at $2,701,000 after purchasing an additional 48 shares in the last quarter. Sei Investments Co. boosted its stake in Madison Square Garden by 1.2% during the third quarter. Sei Investments Co. now owns 4,289 shares of the company’s stock worth $974,000 after buying an additional 52 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank boosted its stake in Madison Square Garden by 2.4% during the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 4,251 shares of the company’s stock worth $965,000 after buying an additional 99 shares during the last quarter. Empowered Funds LLC grew its holdings in Madison Square Garden by 10.8% in the 1st quarter. Empowered Funds LLC now owns 2,055 shares of the company’s stock valued at $400,000 after buying an additional 200 shares in the last quarter. Finally, Captrust Financial Advisors increased its stake in shares of Madison Square Garden by 15.4% in the 2nd quarter. Captrust Financial Advisors now owns 1,505 shares of the company’s stock worth $314,000 after acquiring an additional 201 shares during the last quarter. 68.94% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of equities analysts recently weighed in on MSGS shares. Guggenheim reaffirmed a “buy” rating on shares of Madison Square Garden in a report on Thursday. JPMorgan Chase & Co. upped their target price on Madison Square Garden from $230.00 to $240.00 and gave the stock an “overweight” rating in a research note on Monday, November 3rd. Zacks Research upgraded Madison Square Garden from a “strong sell” rating to a “hold” rating in a research report on Monday, October 13th. Wolfe Research lowered shares of Madison Square Garden from an “outperform” rating to a “hold” rating in a report on Monday, December 15th. Finally, Citigroup upped their price objective on shares of Madison Square Garden from $285.00 to $290.00 and gave the stock a “buy” rating in a research report on Tuesday, December 16th. Five investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $261.33.

About Madison Square Garden

Madison Square Garden Sports Corp (NYSE: MSGS) is a leading sports and entertainment holding company focused on professional sports franchises and related media assets. The company owns and operates teams such as the NBA’s New York Knicks, the NHL’s New York Rangers and the WNBA’s New York Liberty. Through these flagship franchises, MSG Sports offers a range of products and services including ticketing, premium seating and sponsorship opportunities, targeting fans in the New York metropolitan area and beyond.

In addition to team operations, Madison Square Garden Sports Corp holds a majority stake in MSG Networks, a regional cable network that broadcasts live sporting events, news and original programming.