It’s a big crossover day for sports and finance, and shares of Madison Square Garden are soaring.
Madison Square Garden is the holding company that owns both the New York Rangers and New York Knicks, both of whom play their homes games at the Garden. The stock trades under the ticker ‘MSG.’
The main catalyst behind the 3% move in the stock, however, appears to be the sale of the Los Angeles Clippers to former Microsoft CEO Steve Ballmer for $US2 billion. According to theflyonthewall.com, analysts at Albert Fried believe the Knicks are “intrinsically” worth 40% to 50% more than the Clippers.
After the Clippers sale last night, GAMCO CEO Mario Gabelli, said on Twitter:
Clippers for $US 2 billion…nyknicks for free when u buyMSG ….( run the numbers)
— Mario Gabelli (@MarioGabelli) May 29, 2014
And as if the sale price of the Clippers wasn’t enough good news for MSG investors, last night, the Rangers beat the Montreal Canadiens 1-0 to advance to their first Stanley Cup Final since 1994.
Wall Street loves hockey, and last year we chronicled the 25 best hockey players in finance.