Financial Comparison: Madison Square Garden (MSGS) and Its Rivals

Madison Square Garden (NYSE:MSGS) is one of 184 public companies in the “Entertainment” industry, but how does it weigh in compared to its peers? We will compare Madison Square Garden to similar companies based on the strength of its dividends, earnings, analyst recommendations, risk, profitability, institutional ownership and valuation.

Earnings and Valuation

This table compares Madison Square Garden and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Madison Square Garden	$1.15 billion	$7.76 million	1,290.83
Madison Square Garden Competitors	$4.09 billion	$73.91 million	14.74

Madison Square Garden’s peers have higher revenue and earnings than Madison Square Garden. Madison Square Garden is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

68.9% of Madison Square Garden shares are owned by institutional investors. Comparatively, 36.1% of shares of all “Entertainment” companies are owned by institutional investors. 19.1% of Madison Square Garden shares are owned by insiders. Comparatively, 23.6% of shares of all “Entertainment” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Madison Square Garden and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Madison Square Garden	0.67%	-3.47%	0.64%
Madison Square Garden Competitors	11.01%	-22.78%	-2.44%

Analyst Ratings

This is a summary of current recommendations for Madison Square Garden and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Madison Square Garden	0	4	4	0	2.50
Madison Square Garden Competitors	1876	4504	9611	255	2.51

Madison Square Garden currently has a consensus target price of $471.20, suggesting a potential upside of 21.68%. As a group, “Entertainment” companies have a potential upside of 18.13%. Given Madison Square Garden’s higher possible upside, equities research analysts plainly believe Madison Square Garden is more favorable than its peers.

Risk & Volatility

Madison Square Garden has a beta of 0.62, suggesting that its stock price is 38% less volatile than the S&P 500. Comparatively, Madison Square Garden’s peers have a beta of 1.01, suggesting that their average stock price is 1% more volatile than the S&P 500.

Summary

Madison Square Garden peers beat Madison Square Garden on 8 of the 13 factors compared.

Madison Square Garden Company Profile

Madison Square Garden Sports Corp. operates as a professional sports company in the United States. The company owns and operates a portfolio of assets that consists of the New York Knickerbockers of the National Basketball Association (NBA) and the New York Rangers of the National Hockey League. Its other professional franchises include development league teams, the Hartford Wolf Pack of the American Hockey League and the Westchester Knicks of the NBA G League. The company also owns Knicks Gaming, an esports franchise that competes in the NBA 2K League. In addition, it operates professional sports team performance centers, the Madison Square Garden Training Center in Greenburgh. The company was formerly known as The Madison Square Garden Company. Madison Square Garden Sports Corp. was incorporated in 2015 and is based in New York, New York.