With The Madison Square Garden Split Complete, Which Is The Better Stock To Invest In?

On the other hand, both BTIG and Albert Fried have rated MSG Networks Inc (NYSE:MSGN) as a ‘Buy’. Albert Fried’s analyst Rich Tullo also made note of the terrible Knicks season and sees revenue tailwinds because of it, while expecting interest in the NHL’s New York Rangers and New York Islanders to remain stable, with each having strong teams that are expected to contend again this season. MSGN also provides coverage of the NHL’s Buffalo Sabres and New Jersey Devils, as well as MLS’s New York Red Bulls. Despite headwinds in the form of rising media rights payments, Tullo set a $28 price target on the stock, upside potential of over 45%.

The former Madison Square Garden Company reported its fiscal fourth quarter and full year 2015 results on August 20, delivering $387.9 million in revenue for the quarter, with the sports and entertainment divisions responsible for $254.8 million, while the media side pulled in $153.2 million in revenue. While revenue was lower, the media side pulled down more than twice as much income at $77.6 million, while the sports and entertainment divisions generated $34.1 million in income. However, revenue and income both decreased year-over-year on the media side, while making gains in each category on the sports and entertainment sides. For the full 2015 fiscal year ended June 30, the former Madison Square Garden Company had revenue of $1.62 billion and net income of $254.70 million.

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