Insider Selling: Starz Entertainment (NASDAQ:STRZ) Major Shareholder Sells $1,051,275.78 in Stock

Key Points

• Allen Family Capital sold 38,466 Starz shares at an average price of $27.33, generating $1.05 million and reducing its position by 3.83% to 965,320 shares. The shareholder has also made multiple recent sales totaling several million dollars.
• Starz shares recently fell to $21.74, while the company reported a quarterly loss of $11.27 per share—far below the consensus estimate of a $0.59 loss—on revenue of $307.9 million.
• Analyst sentiment remains moderately positive, with an average “Moderate Buy” rating and a $32.71 price target, although the stock has a highly leveraged balance sheet and negative profitability metrics.

Starz Entertainment Corp. (NASDAQ:STRZ - Get Free Report) major shareholder Allen Family Capital, Llc sold 38,466 shares of the firm's stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $27.33, for a total transaction of $1,051,275.78. Following the completion of the transaction, the insider directly owned 965,320 shares of the company's stock, valued at $26,382,195.60. This represents a 3.83% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Large shareholders that own more than 10% of a company's shares are required to disclose their transactions with the SEC.

Allen Family Capital, Llc also recently made the following trade(s):

• On Tuesday, September 29th, Allen Family Capital, Llc sold 363,786 shares of Starz Entertainment stock. The shares were sold at an average price of $21.06, for a total value of $7,661,333.16.
• On Monday, September 28th, Allen Family Capital, Llc sold 124,069 shares of Starz Entertainment stock. The stock was sold at an average price of $21.58, for a total value of $2,677,409.02.
• On Tuesday, September 22nd, Allen Family Capital, Llc sold 115,931 shares of Starz Entertainment stock. The stock was sold at an average price of $25.80, for a total transaction of $2,991,019.80.
• On Monday, September 21st, Allen Family Capital, Llc sold 249,255 shares of Starz Entertainment stock. The stock was sold at an average price of $25.96, for a total transaction of $6,470,659.80.
• On Friday, September 18th, Allen Family Capital, Llc sold 745 shares of Starz Entertainment stock. The stock was sold at an average price of $25.02, for a total transaction of $18,639.90.
• On Thursday, September 17th, Allen Family Capital, Llc sold 93,834 shares of Starz Entertainment stock. The shares were sold at an average price of $25.14, for a total value of $2,358,986.76.
• On Wednesday, September 16th, Allen Family Capital, Llc sold 17,700 shares of Starz Entertainment stock. The stock was sold at an average price of $27.48, for a total value of $486,396.00.
• On Tuesday, September 1st, Allen Family Capital, Llc sold 140,712 shares of Starz Entertainment stock. The stock was sold at an average price of $26.25, for a total transaction of $3,693,690.00.
• On Monday, August 31st, Allen Family Capital, Llc sold 59,288 shares of Starz Entertainment stock. The shares were sold at an average price of $26.31, for a total transaction of $1,559,867.28.
• On Friday, August 21st, Allen Family Capital, Llc sold 156,705 shares of Starz Entertainment stock. The shares were sold at an average price of $26.56, for a total value of $4,162,084.80.

Starz Entertainment Stock Performance

STRZ traded down $0.76 on Thursday, hitting $21.74. 493,168 shares of the company traded hands, compared to its average volume of 195,830. The company has a quick ratio of 0.25, a current ratio of 0.25 and a debt-to-equity ratio of 2.05. The company has a 50 day moving average of $24.91 and a 200-day moving average of $20.44. Starz Entertainment Corp. has a 12-month low of $8.40 and a 12-month high of $32.58. The stock has a market capitalization of $372.19 million, a PE ratio of -0.85 and a beta of 2.55.

Starz Entertainment (NASDAQ:STRZ - Get Free Report) last announced its quarterly earnings data on Friday, August 7th. The company reported ($11.27) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.59) by ($10.68). The firm had revenue of $307.90 million during the quarter. Starz Entertainment had a negative net margin of 33.98% and a negative return on equity of 25.64%. Sell-side analysts anticipate that Starz Entertainment Corp. will post -6.12 earnings per share for the current year.

Hedge Funds Weigh In On Starz Entertainment

Several large investors have recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new position in shares of Starz Entertainment in the 2nd quarter valued at about $35,599,000. NewEdge Wealth LLC acquired a new position in shares of Starz Entertainment during the second quarter valued at $13,911,000. Ancora Advisors LLC bought a new position in shares of Starz Entertainment during the second quarter worth about $11,826,000. Bank of New York Mellon Corp acquired a new stake in shares of Starz Entertainment in the 2nd quarter worth about $9,018,000. Finally, Jefferies Financial Group Inc. bought a new position in Starz Entertainment in the 2nd quarter worth about $8,027,000.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on the company. Morgan Stanley set a $30.00 target price on Starz Entertainment in a report on Monday, August 10th. Citigroup started coverage on shares of Starz Entertainment in a report on Monday, September 14th. They issued an "outperform" rating on the stock. Weiss Ratings reissued a "sell (d-)" rating on shares of Starz Entertainment in a research note on Tuesday. Citizens Jmp started coverage on Starz Entertainment in a research report on Monday, September 14th. They issued a "market outperform" rating and a $40.00 target price for the company. Finally, Deutsche Bank Aktiengesellschaft restated a "hold" rating and issued a $30.00 target price on shares of Starz Entertainment in a research note on Tuesday, August 18th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $32.71.

Starz Entertainment Company Profile

Starz Entertainment Corp. is a media and entertainment company that operates premium subscription television and streaming services. Its offerings include the STARZ premium network, related linear television channels and the STARZ streaming platform, which provides original series, feature films and licensed entertainment content.

The company's programming has included original dramas, comedies and franchises, as well as a selection of theatrical and television movies. STARZ content is distributed through traditional pay-TV providers, digital platforms and direct-to-consumer subscriptions, with availability varying by market and distribution partner.

Starz was established in 1994 as a premium television service and was acquired by Lionsgate in 2016.

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