Wells Fargo analyst Steven Cahall added Lionsgate (LGF.A) (LGF.B) to the firm’s Q1 2025 “Tactical Ideas List.” The Studios/Starz separation is now imminent. The firm thinks studios performance plus timing fatigue has created inefficiency given Lionsgate Studios’ (LION) market cap is greater than Lionsgate’s. Upon separation, Wells believes Studios at 10-times EV/EBITDA plus Starz at 4-times equals meaningful upside potential. The firm has an Overweight rating on Lionsgate with a price target of $10.
Maximize Your Portfolio with Data Driven Insights:
- Leverage the power of TipRanks' Smart Score, a data-driven tool to help you uncover top performing stocks and make informed investment decisions.
- Monitor your stock picks and compare them to top Wall Street Analysts' recommendations with Your Smart Portfolio
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on LGF.B:
- Box Office Battle: ‘Mufasa’ wins Christmas holiday, but ‘Sonic 3’ takes weekend
- Box Office Battle: ‘Sonic 3’ wins weekend with a $62M opening
- Box Office Battle: ‘Moana 2’ remains atop with another $26.6M
- Anson takes stake in Lionsgate Studios, may push for sale, Bloomberg reports
- Box Office Battle: ‘Moana 2’ wins weekend with record $52M