MSG Sports jumps as co explores Knicks, Rangers spinoff

MSG Knickerbockers

18/02/2026 19:27

** Shares of Madison Square Garden Sports MSGS.N jumping 14.4% to $336.02 and hit fresh record highs on Weds after co announced plans to mull the potential spinoff to separate its New York Knicks franchise from its New York Rangers businesses

** MSGS shares on course for record daily pct gain if they surpass 13.9% gain on Jun 28, 2018

** Co said its board has unanimously approved the planned split, which would create two distinct publicly traded companies

** "Both the Knicks and Rangers are premier teams in their respective leagues, with storied histories and large and passionate fan bases. We believe this proposed transaction would provide each company with enhanced strategic flexibility, its own defined business focus, and clear characteristics for investors,” CEO Jim Dolan said in the statement

** BTIG, which rates MSGS 'neutral', said in a note that management has been vocal about exploring options as its equity at times trades at a 50% discount to independent private value estimates

** The announcement "is a step in the right direction to realizing accretion value, however, it is early days", BTIG said, pointing to no definitive timeline for completion

** Avg rating of 8 brokerages is "buy"; median PT of $337 up from $265 a month ago, per LSEG data

** With the move on Weds, stock up 30% YTD

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))