Manchester United (NYSE:MANU) Trading 3.9% Higher After Strong Earnings

Key Points

• Manchester United shares rose 3.9% after quarterly results beat expectations, with adjusted EPS of negative $0.22 versus a projected loss of $0.40 and revenue of $208.66 million versus estimates of $192.23 million.
• Fiscal 2026 delivered record revenue of £677.6 million and adjusted EBITDA of £216.4 million, while the club returned to an operating profit. Returning to the Champions League is expected to support higher fiscal 2027 revenue through increased broadcasting, matchday and commercial income.
• Despite the earnings beat, Manchester United remains unprofitable: the fiscal fourth-quarter adjusted loss widened to about £28.7 million, and analysts maintain an overall “Sell” rating amid concerns about debt, on-pitch performance and the sustainability of future growth.

Manchester United Ltd. (NYSE:MANU - Get Free Report) shot up 3.9% during mid-day trading on Thursday following a stronger than expected earnings report. The company traded as high as $21.57 and last traded at $21.28. Approximately 48,910 shares were traded during mid-day trading, a decline of 86% from the average daily volume of 340,374 shares. The stock had previously closed at $20.49.

The company reported ($0.22) EPS for the quarter, topping the consensus estimate of ($0.40) by $0.18. The company had revenue of $208.66 million during the quarter, compared to analyst estimates of $192.23 million. Manchester United had a positive return on equity of 0.64% and a negative net margin of 2.67%.

Manchester United News Summary

Here are the key news stories impacting Manchester United this week:

• Positive Sentiment: Fiscal 2026 revenue reached a record £677.6 million and adjusted EBITDA was £216.4 million, exceeding Jefferies’ estimates of £665 million and £210 million, respectively. The club also returned to a £22.6 million operating profit from an £18.4 million loss the prior year. Manchester United records revenue despite Champions League absence
• Positive Sentiment: Manchester United expects higher fiscal 2027 revenue after qualifying for the Champions League, which should provide additional broadcasting, matchday and commercial income. The club also announced progress on securing land for a potential new stadium. Manchester United expects higher fiscal 2027 revenue on Champions League boost Manchester United Posts Record Revenue, Secures Stadium Land and Returns to Champions League
• Neutral Sentiment: Quarterly results beat expectations, with adjusted EPS of approximately negative £0.16, or $0.22, versus the consensus loss estimate of $0.40. Quarterly revenue of £157.5 million, or $208.66 million, also exceeded analysts’ forecast of $192.23 million. Manchester United Non-GAAP EPS and revenue
• Negative Sentiment: The fiscal fourth-quarter adjusted loss widened to about £28.7 million, while total quarterly revenue declined. The company remains unprofitable, with a negative net margin, so investors treated the earnings beat as less important than the deterioration in bottom-line results. Manchester United's Fiscal Q4 Adjusted Loss Widens as Total Revenue Falls
• Negative Sentiment: Analysts also noted that Manchester United is returning to the Champions League while still losing money, and ongoing on-pitch struggles could undermine attendance, commercial momentum and future financial improvements. Why Manchester United Stock Fumbled Today

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on MANU. Weiss Ratings restated a "sell (d-)" rating on shares of Manchester United in a research report on Friday, September 11th. Wall Street Zen upgraded Manchester United from a "sell" rating to a "hold" rating in a research report on Sunday, May 31st. One investment analyst has rated the stock with a Sell rating, According to data from MarketBeat.com, the company presently has an average rating of "Sell".

Institutional Investors Weigh In On Manchester United

Several institutional investors have recently added to or reduced their stakes in the company. Gamco Investors INC. ET AL grew its position in shares of Manchester United by 110.9% in the 1st quarter. Gamco Investors INC. ET AL now owns 1,104,738 shares of the company's stock worth $18,582,000 after buying an additional 580,887 shares during the last quarter. Gabelli Funds LLC grew its stake in shares of Manchester United by 26.2% in the 1st quarter. Gabelli Funds LLC now owns 619,318 shares of the company's stock worth $10,417,000 after buying an additional 128,655 shares during the last quarter. Janus Henderson Group PLC increased its holdings in shares of Manchester United by 13.7% during the first quarter. Janus Henderson Group PLC now owns 645,790 shares of the company's stock valued at $10,862,000 after acquiring an additional 77,804 shares in the last quarter. Renaissance Technologies LLC raised its holdings in Manchester United by 23.7% in the first quarter. Renaissance Technologies LLC now owns 268,400 shares of the company's stock worth $4,514,000 after buying an additional 51,500 shares during the last quarter. Finally, Breach Inlet Capital Management LLC raised its holdings in Manchester United by 3.5% in the 4th quarter. Breach Inlet Capital Management LLC now owns 1,223,216 shares of the company's stock worth $19,474,000 after acquiring an additional 41,933 shares during the last quarter. Hedge funds and other institutional investors own 23.34% of the company's stock.

Manchester United Stock Up 3.5%

The company has a debt-to-equity ratio of 2.73, a current ratio of 0.37 and a quick ratio of 0.35. The stock has a market cap of $3.66 billion, a PE ratio of -151.06 and a beta of 0.58. The company has a 50 day moving average price of $22.02 and a two-hundred day moving average price of $20.40.

About Manchester United

Manchester United plc NYSE: MANU is a professional sports and entertainment company centered on Manchester United Football Club, one of England's most prominent soccer clubs. The club operates men's and women's first teams, a youth academy, and related football development programs. Its teams compete primarily in English and European competitions, with home matches played at Old Trafford in Manchester, England.

The company generates revenue through matchday activities, global broadcasting and media rights, commercial partnerships and sponsorships, retail merchandise, licensing, hospitality, and other club-related services.

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