UPDATE: Credit Suisse Initiates Madison Square Garden with Outperform on Strong Market Position

In a report published Monday, Credit Suisse analyst Michael Senno initiated coverage on The Madison Square Garden Company

with an Outperform rating and $68.00 price target. In the report, Senno noted, “As an owner of sports cable networks and teams, we believe that MSG is well positioned to capitalize on the increasing value of premium sports content, which should result in AOCF and FCF growth above peers, and combined with incremental leverage, lead to solid shareholder returns. With key distributors under long-term affiliate deals, stable attendance, and sponsorship and suite revenue contracted on multi-year deals, we estimate medium-term visibility to be at least 65% of total revenue. The recent NBA and NHL CBAs also improve cost visibility.” The Madison Square Garden Company closed on Friday at $56.38.