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MSGS Stock Analysis 2026 - Madison Square Garden Sports Corp. AI Rating

MSGS NYSE Services-Miscellaneous Amusement & Recreation NV CIK: 0001636519
Recently Updated • Analysis: Apr 2, 2026 • SEC Data: 2025-12-31
STRONG SELL
92% Conf
Pending
Analysis scheduled

📊 MSGS Key Takeaways

Revenue: $442.9M
Net Margin: -0.1%
Free Cash Flow: $-53.7M
Current Ratio: 0.47x
Debt/Equity: N/A
EPS: $-0.02
AI Rating: STRONG SELL with 92% confidence

Is MSGS a Good Investment? Thesis Analysis

Claude

Madison Square Garden Sports exhibits severe financial distress with negative stockholders' equity of -$282.1M, indicating liabilities exceed assets. The company is unprofitable with negative operating cash flow of -$52.5M and deteriorating liquidity (0.47x current ratio), signaling inability to meet near-term obligations. Operating margins are deeply negative (-1.2%) with minimal revenue growth (+1.2% YoY), demonstrating neither profitability nor meaningful expansion.

Why Buy MSGS? Key Strengths

Claude
  • + Modest revenue growth of 1.2% YoY indicates some operational stability
  • + Cash position of $81.3M provides temporary liquidity cushion
  • + High insider activity (20 Form 4 filings) may suggest management confidence, though token given financial condition

MSGS Investment Risks to Consider

Claude
  • ! Negative stockholders' equity of -$282.1M represents insolvency risk; liabilities exceed assets by $282.1M
  • ! Severely distressed liquidity with 0.47x current ratio indicates inability to cover short-term obligations
  • ! Negative free cash flow of -$53.7M and negative operating cash flow demonstrate value destruction and unsustainable cash burn
  • ! Negative operating margin (-1.2%) with minimal revenue growth shows structural unprofitability
  • ! Long-term debt of $267.0M against negative equity creates refinancing risk and covenant violation potential

Key Metrics to Watch

Claude
  • * Operating cash flow trend - critical to determine if burn rate stabilizes or accelerates
  • * Stockholders' equity movement - path to positive equity essential for survival
  • * Current ratio and liquidity position - watch for covenant breaches or forced restructuring
  • * Operating margin improvement - evidence of path to profitability required

MSGS Financial Metrics

Revenue
$442.9M
Net Income
$-555.0K
EPS (Diluted)
$-0.02
Free Cash Flow
$-53.7M
Total Assets
$1.5B
Cash Position
$81.3M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

MSGS Profitability Ratios

Gross Margin N/A
Operating Margin -1.2%
Net Margin -0.1%
ROE N/A
ROA 0.0%
FCF Margin -12.1%

MSGS vs Default Sector

How Madison Square Garden Sports Corp. compares to Default sector averages

Net Margin
MSGS -0.1%
vs
Sector Avg 12.0%
MSGS Sector
ROE
MSGS 0.0%
vs
Sector Avg 15.0%
MSGS Sector
Current Ratio
MSGS 0.5x
vs
Sector Avg 1.8x
MSGS Sector
Debt/Equity
MSGS 0.0x
vs
Sector Avg 0.7x
MSGS Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is MSGS Overvalued or Undervalued?

Based on fundamental analysis, Madison Square Garden Sports Corp. has mixed fundamental signals relative to the Default sector in 2026.

Return on Equity
N/A
Sector avg: 15%
Net Profit Margin
-0.1%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
N/A
Sector avg: 0.7x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

MSGS Balance Sheet & Liquidity

Current Ratio
0.47x
Quick Ratio
0.47x
Debt/Equity
N/A
Debt/Assets
118.3%
Interest Coverage
-0.25x
Long-term Debt
$267.0M

MSGS 5-Year Financial Trend & Growth Analysis

MSGS 5-year financial data: Year 2021: Revenue $729.4M, Net Income $11.4M, EPS $0.48. Year 2022: Revenue $821.4M, Net Income -$182.4M, EPS $-7.62. Year 2023: Revenue $887.4M, Net Income -$14.0M, EPS $-0.58. Year 2024: Revenue $1.0B, Net Income $51.1M, EPS $2.10. Year 2025: Revenue $1.0B, Net Income $47.8M, EPS $1.89.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Madison Square Garden Sports Corp.'s revenue has grown significantly by 42% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.89 reflects profitable operations.

MSGS Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-12.1%
Free cash flow / Revenue

MSGS Quarterly Performance

Quarterly financial performance data for Madison Square Garden Sports Corp. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q2 2026 $357.8M -$555.0K $-0.02
Q1 2026 $39.5M -$7.5M $-0.31
Q3 2025 $424.2M -$14.2M $-0.59
Q2 2025 $326.9M $1.1M $0.05
Q1 2025 $43.0M -$7.5M $-0.31
Q3 2024 $382.7M $33.3M $1.38
Q2 2024 $326.9M -$4.6M $0.11
Q1 2024 $24.1M -$17.8M $-0.73

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

MSGS Capital Allocation

Operating Cash Flow
-$52.5M
Cash generated from operations
Capital Expenditures
$1.2M
Investment in assets
Dividends Paid
$472.0K
Returned to shareholders

MSGS SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for Madison Square Garden Sports Corp. (CIK: 0001636519)

📋 Recent SEC Filings

Date Form Document Action
Feb 24, 2026 4 xslF345X05/form4-02242026_110236.xml View →
Feb 24, 2026 4 xslF345X05/form4-02242026_110206.xml View →
Feb 24, 2026 4 xslF345X05/form4-02242026_110238.xml View →
Feb 24, 2026 4 xslF345X05/form4-02242026_110210.xml View →
Feb 24, 2026 4 xslF345X05/form4-02242026_110217.xml View →

Frequently Asked Questions about MSGS

What is the AI rating for MSGS?

Madison Square Garden Sports Corp. (MSGS) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are MSGS's key strengths?

Claude: Modest revenue growth of 1.2% YoY indicates some operational stability. Cash position of $81.3M provides temporary liquidity cushion.

What are the risks of investing in MSGS?

Claude: Negative stockholders' equity of -$282.1M represents insolvency risk; liabilities exceed assets by $282.1M. Severely distressed liquidity with 0.47x current ratio indicates inability to cover short-term obligations.

What is MSGS's revenue and growth?

Madison Square Garden Sports Corp. reported revenue of $442.9M.

Does MSGS pay dividends?

Madison Square Garden Sports Corp. pays dividends, with $0.5M distributed to shareholders in the trailing twelve months.

Where can I find MSGS SEC filings?

Official SEC filings for Madison Square Garden Sports Corp. (CIK: 0001636519) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is MSGS's EPS?

Madison Square Garden Sports Corp. has a diluted EPS of $-0.02.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is MSGS a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Madison Square Garden Sports Corp. has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is MSGS stock overvalued or undervalued?

Valuation metrics for MSGS: ROE of N/A (sector avg: 15%), net margin of -0.1% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy MSGS stock in 2026?

Our dual AI analysis gives Madison Square Garden Sports Corp. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is MSGS's free cash flow?

Madison Square Garden Sports Corp.'s operating cash flow is $-52.5M, with capital expenditures of $1.2M. FCF margin is -12.1%.

How does MSGS compare to other Default stocks?

Vs Default sector averages: Net margin -0.1% (avg: 12%), ROE N/A (avg: 15%), current ratio 0.47 (avg: 1.8).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 2, 2026 | Data as of: 2025-12-31 | Powered by Claude AI