STARZ’s Strategic Battle for Original Content Amidst Fierce Industry Competition

Lions Gate Entertainment Corp Class A (LGF.A) has disclosed a new risk, in the Competition category.

Lions Gate Entertainment Corp Class A, through its subsidiary STARZ, is navigating a highly competitive market for quality programming, which is crucial for its network’s success. Securing or maintaining original programs and films suitable for their audience is challenging due to intense competition from various content providers, including cable, broadcast, and digital streaming services. Some content owners are hesitant to license to third parties, potentially limiting STARZ’s access to desired programming. Additionally, the shift from pilot to straight-to-series orders increases financial risks, as unsuccessful series can lead to elevated production costs and may not resonate with viewers, potentially impacting the company’s financial stability and operational results.

Overall, Wall Street has a Moderate Buy consensus rating on LGF.A stock based on 2 Buys.

To learn more about Lions Gate Entertainment Corp Class A’s risk factors, click here.