MeritValue

Madison Square Garden Entertainment Corp.

MSGEdata completeness 88%5 fiscal years on file

Data notes: no data for concept 'capex'; no data for concept 'pretaxIncome'

The thesis, from the filings

Madison Square Garden Entertainment Corp. earns about -44% on equity, and has bought back 7% of its shares over 5 years. The applicable estimate puts fair value near $8.03 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$57.5M1$582.1M2$779.8M3$886M3$862.8M3
Net income−$218.6M4−$133.3M5$76.6M6$144.3M6$37.4M6
Operating cash flow−$148.1M7$95.4M8$135.7M9$111.3M9$115.3M9
Capital expenditure—————
Free cash flow (derived)—————
Total debt—$1.32B10$1.28B11$1.21B12$1.17B12
Cash & equivalents$318.1M13$58.1M14$76.1M15$33.3M16$43M16
Diluted shares51.8M51.8M52.3M48.6M48.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
−$2.75
your share of equity
Profit it earned you last year
$7.74
Free cash flow it threw off
—
Debt you’d be carrying
$241.68

10 shares is a claim on −$2.75 of net worth that earned you $7.74 last year, against $241.68 of debt.

iii. Is this a good business?
Moat signal · return on equity
-44% avg · 5y
FY21 -44%FY22 —FY23 —FY24 —FY25 —

It earned an average -44% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−7% shares · 5y

Share count is down 7% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has fallen 11% — deleveraging.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$8.03
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$37.4M
  • growthAssumed0.0%
Graham Number
not applicable
book value / share count missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-06-30 · accession 0001952073-23-000012 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-06-30 · accession 0001952073-24-000022 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-06-30 · accession 0001952073-25-000037 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-06-30 · accession 0001952073-23-000012 (NetIncomeLoss)
  5. 10-K · period ending 2022-06-30 · accession 0001952073-24-000022 (NetIncomeLoss)
  6. 10-K · period ending 2023-06-30 · accession 0001952073-25-000037 (NetIncomeLoss)
  7. 10-K · period ending 2021-06-30 · accession 0001952073-23-000012 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-06-30 · accession 0001952073-24-000022 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-06-30 · accession 0001952073-25-000037 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-06-30 · accession 0001952073-23-000012 (LongTermDebtNoncurrent)
  11. 10-K · period ending 2023-06-30 · accession 0001952073-24-000022 (LongTermDebtNoncurrent)
  12. 10-K · period ending 2024-06-30 · accession 0001952073-25-000037 (LongTermDebtNoncurrent)
  13. 10-K · period ending 2021-06-30 · accession 0001952073-24-000022 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  14. 10-K · period ending 2022-06-30 · accession 0001952073-23-000012 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2023-06-30 · accession 0001952073-24-000022 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2024-06-30 · accession 0001952073-25-000037 (CashAndCashEquivalentsAtCarryingValue)