Madison Square Garden Can Win From M&A And Buybacks
- The share price of The Madison Square Garden Co. (NYSE: MSG) have increased more than 2 percent in the past one month.
- Stifel’s Benjamin E. Mogil has upgraded the rating on the company from Hold to Buy, with a price target of $190.
- The upgrade follows the spin-off of Madison Square Garden Networks (MSGN).
Analyst Benjamin Mogil believes that the company has “a strong collection of assets with high IP value, supported by an M&A war-chest with the backdrop of a sizable buyback cushion,” which Madison Square Garden would “actively” utilize at the current price levels.
Mogil also believes that “as the television delivery eco-system evolves, actual content IP ownership will continue to have multiple distribution options.”
Most of the company’s M&A focus is expected to be in the Entertainment business, although Mogil does not expect Madison Square Garden to be very active in terms of share buybacks.
Latest Ratings for MSG
|Jan 2017||Bank of America||Reinstates||Buy|
|Jan 2017||Morgan Stanley||Upgrades||Equal-Weight||Overweight|
|Sep 2016||Albert Fried||Maintains||Market Perform|
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