Madison Square Garden Sports Corp. Class A Common Stock (New) (MSGS)

FairStock Score: 29/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I start with what I can understand. MSGS owns the New York Knicks and New York Rangers, plus development teams—scarce entertainment assets. In fiscal 2026 (year ended 2026-06-30), revenue was $1.2B, net income $7.8M, and diluted EPS $0.32. That is a razor-thin profit on a large revenue base. Fiscal 2025 showed revenue of $1.0B and a net loss of $22.4M, or diluted EPS $(0.93), while fiscal 2024 had net income of $58.8M, or diluted EPS $2.44. The Lynch category is TURNAROUND—returned to profit after a loss within the last three years—and FairStock's Piotroski F-Score is 8/9, Altman Z-Score 3.14, so the financial picture is not obviously distressed. Still, at the 2026-10-13 close of $404.15 and a $9.8B market cap, FairStock's P/E is 1,262.97, EV/EBITDA 254.76, FCF yield 0.6%, and ROCE 1.28%. You are paying an enormous price for very little current earnings and cash flow. Revenue growth of 12.76% and profit growth of 641.94% are encouraging, but the profit growth starts from a very low base, and filed quarterly results are lumpy: fiscal Q1 2026 (quarter ended 2025-09-30) had a $8.8M net loss, fiscal Q2 2026 had $8.2M net income, and fiscal Q3 2026 had a $20.0M net loss. The assets are wonderful; the earnings are not yet wonderful relative to the stock price. A Graham-style margin of safety is absent unless the franchises are worth far more privately than the figures show.

In plain English: This company owns famous New York sports teams, including the Knicks and Rangers, plus smaller development teams. Its revenue rose to $1.2B in the year ended 2026-06-30, but profit was only $7.8M, so it earns very little for its size. At the 2026-10-13 closing price of $404.15, the stock looks expensive compared with those profits, and it would need much bigger earnings to look fairly priced.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q3 2026 10-Q (period ended 2026-03-31) · fiscal Q2 2026 10-Q (period ended 2025-12-31) · fiscal Q1 2026 10-Q (period ended 2025-09-30) · fiscal Q3 2025 10-Q (period ended 2025-03-31) · FY2026 10-K (period ended 2026-06-30) · FY2025 10-K (period ended 2025-06-30) · FY2024 10-K (period ended 2024-06-30)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer