STRZ

STRZ is the Starz premium/OTT streaming business carved out of Old Lionsgate in the May 2025 Separation, now a standalone Nasdaq name with just 16.7M shares (down 88.6% post-split-off) and a $485M market cap. The headline case is 'optically cheap': 0.4x P/S on $1.37B of revenue, with net losses narrowing dramatically from -$1.87B (FY2023) to -$915M (FY2024) to -$211M (FY2025). But the loss improvement is largely the tail of an impairment- and restructuring-heavy carve-out — the company exited nearly all international LIONSGATE+ territories (only Canada and India remain), which also explains why revenue collapsed from $3.60B (FY2022) to ~$1.37B and is still shrinking (-1.6% YoY). This is a business in managed contraction inside a structurally pressured premium-TV market, not one compounding.

The disqualifier is the balance sheet, and it is severe. Cash is just $17.8M (down 22.6%) against a current portion of debt of $860M (up 1,978% YoY) and $1.62B of long-term debt — an enterprise loaded with ~$2.5B of obligations sitting atop a $485M equity sliver (liabilities/equity 1.84x). Current assets of $171M cover only 27% of $623M current liabilities, and operations still burn cash (operating cash flow -$46M). A near-term maturity wall of that size against $17.8M of cash makes refinancing existential: the equity's value is almost entirely a function of whether management can roll that debt on tolerable terms, an outcome the provided data cannot underwrite.