FMP
Seaport Global Initiates Starz with Buy Rating Ahead of Earnings Report
May 19, 2025 4:33 PM - Davit Kirakosyan
Image credit: FMP
Seaport Global Securities has initiated coverage on Starz Entertainment (NASDAQ:STRZ) with a Buy rating and a $30 price target, citing significant upside potential driven by free cash flow strength, margin expansion, and a compelling valuation disconnect.
Analysts noted that post-split market dislocation has left Starz trading at a steep discount—even relative to traditional linear networks that are more exposed to cord-cutting. With strong free cash flow conversion, the firm sees a clear path to debt reduction and EBITDA growth as Starz deepens its connection with its core subscriber base through targeted original content.
The firm believes this focus supports eventual ARPU gains, improved profitability, and stronger cash generation. While the near-term target is $30, Seaport estimates that longer-term valuation could rise to $46 or even $56 as investor sentiment improves and the market begins to differentiate between content-driven platforms and legacy media models.
The upcoming earnings report, expected after the close on May 29, could be a key catalyst for reassessing the company's trajectory.
Other Blogs
Nov 22, 2024 5:08 AM - Parth Sanghvi
Fundamental Analysis: Principles, Types, and How to Use It
Fundamental analysis is one of the most essential tools for investors and analysts alike, helping them assess the intrinsic value of a stock, company, or even an entire market. It focuses on the financial health and economic position of a company, often using key data such as earnings, expenses, ass...
Dec 17, 2024 8:58 AM - Sanzhi Kobzhan
Examining Tesla’s Financial Health Using FinancialModelingPrep’s Ratios API
Tesla, one of the world’s most talked-about electric vehicle manufacturers, attracts a lot of attention from investors and market watchers. By examining a snapshot of Tesla’s financial ratios—such as those provided by FinancialModelingPrep’s Ratios API—we can get a clearer picture of the company’s f...
Dec 22, 2024 7:59 AM - Sanzhi Kobzhan
Two great Software Platform Stocks Similar to Palantir (PLTR)
When it comes to cutting-edge software and data analytics, Palantir Technologies (NYSE: PLTR) is often front and center. But for many investors, it’s important to consider alternative or complementary stocks in the same sector that may offer robust growth potential. As PLTR looks expensive (overvalu...
