MSGE - The Sizzle Is Fading For Sphere Entertainment
2024-04-22 13:41:03 ET
Summary
- Sphere Entertainment Co. shares have rallied 35% since its split from Madison Square Garden Entertainment in April 2023.
- The opening of the Sphere venue in Las Vegas, featuring a sold-out U2 residency, validated the pre-launch hype.
- Recent insider buying into Sphere warranted further investigation, an analysis follows in the paragraphs below.
Shares of entertainment venue and media concern Sphere Entertainment Co. ( SPHR ) have rallied some 35% since it was split off from Madison Square Garden Entertainment ( MSGE ) in April 2023, even with a recent pullback in the shares. Reviews after the opening of its namesake destination in Las Vegas – featuring a sold-out, 40-concert U2 residency – validated the pre-launch hype regarding the immersive experience venue. Dragged down by its lower-margin network business and not slated to turn a net profit until FY27, the recent insider buying into Sphere merited further investigation. An analysis follows below....
The Sizzle Is Fading For Sphere Entertainment