UPDATE: Stifel Nicolaus Upgrades Madison Square Garden to Buy with $45 PT on Q1 Upside

Stifel Nicolaus raises its rating on Madison Square Garden MSG from Hold to Buy with a newly established $45 price target. Stifel Nicolaus says, "We are raising our rating on Madison Square Garden from Hold to Buy and establishing a target price of $45.00. Looking beyond better than expected 1Q12 results, we believe that the growth in Media and Sports is structurally sustainable leading to the rating upgrade. Right now, we are beginning to see the confluence of events at Madison Square Garden which are leading to very strong FCF growth: Media increases owing to strong affiliate fees as sports continues to be a must-have for MSOs at the same time as the Sports segment begins to see the economics from the renovation and by the end of this summer the bulk of the capex from the renovation behind us." MSG closed at $37.94 on Friday.