$STRZ

Raymond James upgrades Starz Entertainment stock rating on execution

Raymond James upgraded Starz Entertainment (STRZ) to Strong Buy, raising its price target to $36. The stock has fallen 28% since July but is up 105% over the past year. Starz reported Q3 2026 revenue of $322 million, with OIBDA at $44 million, exceeding expectations. The company expects 6% annual OIBDA growth from 2025 to 2028 and guided to $100-$120 million in unlevered free cash flow for 2026.

Original reporting
Published Oct 30, 2026, 11:18 AM UTC
Analysis
AlphAI AI DeskAI-generated
Added to AlphAI Oct 30, 2026, 11:29 AM UTC. Informational, not investment advice.
How this was made
AlphAI summarizes source reporting and applies a structured AI analysis for relevance, timing, sentiment and ticker impact. Always verify material claims with the original publisher.
AlphAI market briefEarnings
Primary signal
$STRZ
Bullish
high confidence
Mentioned
$STRZ
Relevance
7/10
AlphAI data visualization · based on investing.com
Decision brief

The 30-second read

$STRZBullishHigh
01

Why it matters

Analyst upgrade reflects confidence in streaming revenue mix and margin expansion, likely prompting short-term buying.

02

Market read

The upgrade and earnings beat provide fresh, material information for traders targeting STRZ.

03

What to watch

Potential headwinds from rising content costs and macroeconomic slowdown could pressure margins.

Relevance 7/10Novelty 8/10Timing: today

Background

Starz Entertainment reported Q3 2026 revenue of $322M, OIBDA of $44M, and reaffirmed full-year guidance.

Company-level read

Ticker impact

$STRZBullishHigh confidence
Context

Raymond James upgraded Starz Entertainment to Strong Buy, raised the price target to $36 and highlighted Q3 2026 results.

Expected impact

likely upward pressure as investors price in the upgrade and strong Q3 performance

Evidence & confidence

Analyst upgrade with a new target and better-than-expected earnings typically drive buying interest.

Market effects

Positive signal for the streaming/media sector as a peer shows strong growth and valuation uplift.

May boost sentiment for US small-cap entertainment stocks.

Limited to US equity markets; no immediate global macro effect.

Counterpoint

The upgrade may be premature if subscriber growth slows or competition intensifies.

Key entities

  • Raymond James

    Upgraded Starz to Strong Buy and set a $36 price target.

  • Starz Entertainment

    Streaming media company reporting strong Q3 results.

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Starz (STRZ) Q3 2026 Earnings Call Transcript

Starz (STRZ) reported Q3 2026 earnings, highlighting new distribution deals, strong content performance, and reaffirmed financial guidance. Revenue was $322M, with OTT revenue up 1.7% YoY. Adjusted OIBDA was $44M, and unlevered free cash flow was $19M. The company expects mid-single-digit adjusted OIBDA growth and $100M-$120M in unlevered free cash flow for 2026.

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Why is Starz Entertainment stock up 7% today?

Starz Entertainment (STRZ) stock rose 7.7% in pre-market trading after reporting Q3 2026 revenue of $322M, adjusted OIBDA of $44M, and GAAP EPS of -$2.02, all beating estimates. The company reaffirmed 2026-2027 targets. Raymond James upgraded STRZ to Strong Buy, raising its price target to $36. The rally occurred despite a broader market decline.

$STRZHighAI 8/10

Starz Entertainment Corp (STRZ) Q3 2026 Earnings Call Highlights: Strongest Quarter

Starz Entertainment Corp (STRZ) reported Q3 2026 revenue of $322M, with OTT revenue up 1.7% YoY. The company expects Q4 adjusted OIBDA to be flat or down due to marketing spend for P-Valley. International expansion is in early stages, and cash content spend remains high. Management reaffirmed mid-single-digit adjusted OIBDA growth for 2026, with strong subscriber retention and ARPU growth.

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What Starz Entertainment (STRZ) Said on Its Q3 Earnings Call

Starz (STRZ) reaffirmed its 2026 adjusted OIBDA growth target of mid-single digits and unlevered free cash flow of $100M-$120M. Q3 cash content spending was $174M, with full-year expected below $600M. Net debt was $601M as of Sept. 30. The company expects to end 2026 with leverage of 2.7x. Starz increased its credit facilities by $100M, improving annual free cash flow by $4M. Management highlighted strong content performance and international revenue opportunities.

$STRZMedAI 8/10

Starz Entertainment Corp. Reports Results for the Third Quarter Ended September 30, 2026

STARZ ENTERTAINMENT CORP /CN/ (STRZ) filed an SEC Form 8-K — Results of Operations and Financial Condition. Starz Entertainment Corp. Reports Results for the Third Quarter Ended September 30, 2026 STARZ Delivers Sequential and Year-over-Year OTT and Total Revenue Growth Company Reaffirms All 2026 and 2027 Targets • OTT Revenue and Total Revenue Grew Sequentially and Year-over-Year • Ad