Starz Entertainment Corp (STRZ) stock analysis
Close on Nov 11, 2026Market cap $461.15MP/E –Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak2 of 30 checks passed
Starz Entertainment passes 2 of the 30 checks behind our score; 15 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 1/6
- Growth
- 0/6
- Past performance
- 1/6
- Financial health
- 0/6
- Dividend
- 0/6
What stands out
Trading below fair value
The share price of $26.72 is below our fair value estimate of $27.86.
Net margin above its 5-year average
Net margin was -34.0% over the last twelve months, against a 5-year average of -54.5%.
What to watch
Margin of safety under 20%
The price is 4.1% below fair value, less than the 20% cushion we look for.
Return on equity under 15%
Return on equity was -93.5% over the last twelve months and averaged -48.2% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was -27.9%, below the 10% that usually covers the cost of capital.
High debt
Debt is 252% of shareholders' equity, above the 40% we consider low.
Valuation1/6
P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/B above the industry
Starz Entertainment's price-to-book of 1.71 is above the Communication services median of 1.71.
Trading below fair value
The share price of $26.72 is below our fair value estimate of $27.86.
Margin of safety under 20%
The price is 4.1% below fair value, less than the 20% cushion we look for.
Growth0/6
Revenue growth over 3 years
Needs three years of positive revenue.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew -36.0% over the last twelve months; the Communication services median is 19.2%.
Guidance issued
The latest outlook (exiting 2026 Adjusted OIBDA Leverage Ratio, Oct 29, 2026) was issued for the first time, so it neither adds nor takes away points.
Gross margin trend
This company does not report gross profit.
Past performance1/6
Return on equity under 15%
Return on equity was -93.5% over the last twelve months and averaged -48.2% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was -27.9%, below the 10% that usually covers the cost of capital.
Return on equity below the industry
Starz Entertainment's return on equity of -93.5% is below the Communication services median of -18.7%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin above its 5-year average
Net margin was -34.0% over the last twelve months, against a 5-year average of -54.5%.
Net margin below the industry
Starz Entertainment's net margin of -34.0% is below the Communication services median of -29.3%.
Financial health0/6
High debt
Debt is 252% of shareholders' equity, above the 40% we consider low.
Debt rising against equity
Debt to equity rose from 94.2% five years ago to 252%.
Debt coverage
Needs operating cash flow.
Interest not well covered
Operating income covers interest expense -6.4 times; we look for at least 5.
Short-term assets don't cover short-term debts
Current assets are 0.33 times current liabilities.
Elevated bankruptcy risk
The Altman Z-score is -0.45; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Starz Entertainment has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$27.86
The share price is 4% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/B | 0.9× | 0.0× | 1.7× | $14.49 | 50% |
| P/S | 0.6× | 0.0× | 1.0× | $41.22 | 50% |
| Fair value | $27.86 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Communication services median 16.8
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Medium risk
- Average value traded per day
- $7.09M
- Value traded per 1% price move
- $1.90M
Downside
Medium risk
- Typical loss in a bad month
- 21.1%
- Volatility (annualized)
- 68%
- Sharpe ratio, 1 year
- 2.17
- Beta to the S&P 500 (5Y)
- –
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2012 to 2026
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2026
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2017 | FY2021 | FY2026 | Trend |
|---|---|---|---|---|
| Return on equity | 0.9% | -0.7% | – | |
| Return on assets | 0.2% | -0.2% | – | |
| Current ratio | 1.00 | 0.70 | 0.31 | |
| Debt to equity | 1.24 | 0.94 | 1.28 | |
| Net debt to EBITDA | 59.83× | 5.85× | – | |
| Interest coverage | -0.1× | 0.9× | – | |
| Capex to revenue | 0.8% | 1.1% | – | |
| Diluted shares | 12M | 16M | – |
Cash use needs five years of cash flow figures
Starz Entertainment does not report operating cash flow and capital expenditure for each of the last five fiscal years.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | -15.4% | 0.64× | 2.56× | -25.1% |
| FY2024 | -65.7% | 0.29× | 3.90× | -74.7% |
| FY2023 | -131.5% | 0.17× | 3.79× | -86.4% |
| FY2022 | -5.2% | 0.42× | 3.09× | -6.7% |
| FY2021 | -0.6% | 0.40× | 2.98× | -0.7% |
| FY2020 | -4.8% | 0.48× | 2.93× | -6.8% |
| FY2019 | -7.7% | 0.42× | 2.86× | -9.4% |
| FY2018 | 11.5% | 0.45× | 3.20× | 16.7% |
| FY2017 | 0.5% | 0.49× | 3.87× | 0.9% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2026 against fiscal 2025
- ProfitableNet income above zero–
- Cash generatingOperating cash flow above zero–
- Return on assets improvedROA up on the prior year-9.9% → –
- Earnings backed by cashOperating cash flow above net income– vs –
- Less leverageLong-term debt to assets fell32.2% → 33.7%
- Better liquidityCurrent ratio rose0.27 → 0.31
- No dilutionShare count did not rise17M → –
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.64 → –
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