Sphere Entertainment (SPHR) Stock Fundamentals, Analysis & Risk Signals

Health score, competitive moat, risk signals, and key metrics at a glance.

NYSE•Communication Services•Entertainment

GoodMetricSide Score: 64/100

ProfitabilityProfit11/30

GrowthGrowth25/25

Balance SheetBalance19/25

Cash QualityCash9/20

Price & Volume

Sphere Entertainment Co. operates as a live entertainment and media company in the United States. It operates through two segments, Sphere and MSG Networks. The Sphere segment offers entertainment medium powered by technologies to create multi-sensory experiences. The MSG Networks segment provides regional sports and entertainment networks; direct-to-consumer and authenticated streaming products, as well as sports content, including live local games and other programming. The company was formerly known as Madison Square Garden Entertainment Corp. and changed its name to Sphere Entertainment Co. in April 2023. Sphere Entertainment Co. was founded in 2006 and is based in New York, New York.

Moat Signals

Competitive analysis based on 38 quarters of fundamental data

Pricing Power

Weak Moat

Operating margins are under pressure, averaging -26.1%. The business may lack pricing power or face rising costs.'

Competitive Advantage

Weak Moat

ROE is low or negative, suggesting limited competitive advantage or capital allocation challenges.

Risk Signals

Data-driven red flags and warnings across 38 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Red Flag

Free cash flow has been negative in 4 of the last 8 quarters — earnings are not translating to cash.

Leverage Risk

Watch

Debt-to-equity has risen 36.7% recently — increasing financial risk even if the current ratio is manageable.

Revenue Decline

Healthy

Revenue is stable or growing over recent quarters — demand appears durable.

Cash Burn

Watch

4 of the last 8 quarters had negative FCF — inconsistent cash generation raises sustainability concerns.

Share Dilution

Healthy

Share count is stable — no significant dilution or buyback activity.

Metrics at a Glance

as of March 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $1.33B
Q. Revenue: $386.41M
TTM EBITDA: $548.04M
TTM Op. Income: N/A
Q. Op. Income: $10.78M
TTM Net Income: $119.82M
Q. Net Income: $4.46M
EPS: N/A
Shares Out.: $35.88M

$1.33B in TTM revenue grew 21.6% YoY, reaching $386.41M last quarter. TTM EBITDA of $548.04M and TTM operating income of N/A shows growth is flowing through. Net income of $119.82M TTM confirms the company is converting revenue into profit. Revenue is growing at a healthy pace — a signal to hold.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 23.8%
Op. Margin: 2.8%
Net Margin: 1.2%

Op. margin of 2.8% is up 30.8% YoY — cost efficiency is improving. Net margin at 1.2%.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 31.9x
P/S Ratio: 2.9x
P/B Ratio: 1.7x

At 31.9x P/E, the stock trades at a premium — the market expects above-average growth. P/S of 2.9x and P/B of 1.7x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $4.22B
Cash: $630.15M
Long-Term Debt: $752.70M
Book Value: $2.25B
D/E Ratio: 0.3
Debt/EBITDA: 8.2

With $4.22B in assets and $752.70M in long-term debt, the D/E of 0.3and book value of $2.25B — shows a conservative capital structure — the company has a strong financial cushion to weather downturns.