Madison Square Garden Entertainment (NYSE:MSGE) Releases Quarterly Earnings Results, Misses Expectations By $0.03 EPS

Key Points

• Q3 miss: MSGE reported EPS of $0.11, missing estimates by $0.03, while revenue rose ~1.5% YoY to $246.3 million and adjusted operating income fell by $12 million due to higher direct operating and SG&A expenses.
• Strong event momentum: Management expects a surge in concerts including a 30‑night Harry Styles residency and well‑paced FY27 bookings, and the 92nd season of the Christmas Spectacular generated about $195 million across 215 paid shows.
• Balance sheet & buybacks: Unrestricted cash jumped to $323 million (from $157M), the company has repurchased roughly $25M of stock with ~$45M remaining under its authorization, and total debt is $587 million.

Madison Square Garden Entertainment (NYSE:MSGE - Get Free Report) posted its quarterly earnings data on Thursday. The company reported $0.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.14 by ($0.03), FiscalAI reports. The company had revenue of $246.26 million during the quarter, compared to the consensus estimate of $242.99 million. Madison Square Garden Entertainment had a net margin of 5.12% and a negative return on equity of 748.04%. Madison Square Garden Entertainment's revenue for the quarter was up 1.5% on a year-over-year basis. During the same period in the previous year, the business earned $0.17 earnings per share.

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

• Q3 results — Revenues were $246.3 million (up 2% year‑over‑year) while adjusted operating income was $46 million, down $12 million mainly due to higher direct operating and SG&A expenses.
• Concert momentum at The Garden — The company expects a significant increase in concerts in fiscal Q4 and FY27 bookings are pacing well, highlighted by a 30‑night Harry Styles residency plus other multi‑night residencies.
• Christmas Spectacular — The 92nd season generated about $195 million across 215 paid shows, with higher per‑show ticketing revenue, and 230 performances are on sale for the 2026 season.
• Balance sheet & capital return — Unrestricted cash rose to $323 million (from $157M), debt was $587 million, and the company repurchased ~$25 million of stock year‑to‑date with ~$45 million remaining under the buyback authorization.
• Theaters lagging bookings — Theaters saw fewer concerts and are pacing behind for the September quarter, but management notes theatre booking windows are short (3–6 months) and expects to work to narrow the gap.

Madison Square Garden Entertainment Trading Down 0.2%

Shares of MSGE stock traded down $0.16 on Thursday, reaching $66.79. 917,828 shares of the company's stock were exchanged, compared to its average volume of 321,485. Madison Square Garden Entertainment has a 52 week low of $35.31 and a 52 week high of $69.87. The company has a current ratio of 0.68, a quick ratio of 0.68 and a debt-to-equity ratio of 15.40. The stock has a market capitalization of $2.70 billion, a PE ratio of 61.84 and a beta of 0.61. The company's fifty day simple moving average is $60.38 and its 200 day simple moving average is $55.98.

Insider Activity

In related news, Director Charles P. Dolan sold 19,311 shares of the firm's stock in a transaction that occurred on Friday, February 20th. The stock was sold at an average price of $63.76, for a total transaction of $1,231,269.36. Following the completion of the sale, the director directly owned 660 shares of the company's stock, valued at approximately $42,081.60. This trade represents a 96.70% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 16.41% of the company's stock.

Institutional Investors Weigh In On Madison Square Garden Entertainment

A number of institutional investors and hedge funds have recently modified their holdings of the business. Aster Capital Management DIFC Ltd bought a new stake in Madison Square Garden Entertainment during the 4th quarter valued at $45,000. State of Wyoming bought a new stake in Madison Square Garden Entertainment during the 2nd quarter valued at $62,000. CIBC Private Wealth Group LLC raised its position in Madison Square Garden Entertainment by 3,248.6% during the 4th quarter. CIBC Private Wealth Group LLC now owns 1,239 shares of the company's stock valued at $67,000 after purchasing an additional 1,202 shares in the last quarter. Raymond James Financial Inc. bought a new stake in Madison Square Garden Entertainment during the 2nd quarter valued at $96,000. Finally, Kemnay Advisory Services Inc. bought a new stake in Madison Square Garden Entertainment during the 4th quarter valued at $108,000. 96.86% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on MSGE shares. Weiss Ratings lowered Madison Square Garden Entertainment from a "hold (c+)" rating to a "hold (c)" rating in a research note on Monday. Wall Street Zen raised Madison Square Garden Entertainment from a "hold" rating to a "buy" rating in a research note on Saturday, February 28th. Guggenheim raised their price objective on Madison Square Garden Entertainment from $74.00 to $76.00 and gave the company a "buy" rating in a research note on Thursday, April 16th. JPMorgan Chase & Co. raised their price target on Madison Square Garden Entertainment from $60.00 to $63.00 and gave the stock a "neutral" rating in a research note on Wednesday, February 4th. Finally, BTIG Research raised their price target on Madison Square Garden Entertainment from $70.00 to $86.00 and gave the stock a "buy" rating in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $63.67.

Madison Square Garden Entertainment Company Profile

Madison Square Garden Entertainment Corp. NYSE: MSGE is a premier live entertainment company focused on producing and hosting a wide range of events across North America. Established as a separate publicly traded entity in April 2020 through a spin-off from Madison Square Garden Company, MSGE owns and operates iconic venues such as Madison Square Garden in New York City, Radio City Music Hall, The Chicago Theatre and Sphere in Las Vegas. These facilities serve as flagship stages for concerts, sports events, family shows and cultural performances.

The company's core business activities center on venue management, event promotion and production services.

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