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1. Company Snapshot

1.a. Company Description

AMC Networks Inc., an entertainment company, owns and operates a suite of video entertainment products that are delivered to audiences and a platform to distributors and advertisers in the United States and internationally.The company operates in two segments, Domestic Operations, and International and Other.The Domestic Operations segment operates various national programming networks, including the AMC, WE tv, BBC AMERICA, IFC, and SundanceTV; provides subscription streaming services comprising Acorn TV, Shudder, Sundance Now, ALLBLK, and HIDIVE, as well as AMC+ and other streaming initiatives; and engages in film distribution business under the IFC Films name.


This segment also produces and licenses original programming for various programming networks, as well as services the national programming networks.The International and Other segment operates a portfolio of channels under the AMCNI name; and production and comedy venues activities under the Levity name.AMC Networks Inc.


was founded in 1980 and is headquartered in New York, New York.

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1.b. Last Insights on AMCX

AMC Networks' recent outlook has been marred by a "Strong Sell" consensus rating from seven analysts, with four assigning a sell rating and three a hold rating, as reported by Marketbeat Ratings. The departure of Chief Financial Officer Patrick O'Connell may also raise concerns about the company's financial leadership. Furthermore, the options market has been signaling potential volatility, warranting investor attention.

1.c. Company Highlights

2. AMC Networks' 2025 Earnings: A Strong Year for Streaming

AMC Networks reported a robust financial performance in 2025, driven by its streaming business, which became its largest single source of domestic revenue. The company generated $2.3 billion in consolidated revenue, with consolidated adjusted operating income (AOI) of $412 million, resulting in a margin of 18%. The earnings per share (EPS) came in at $0.64, beating estimates of $0.5. The company's free cash flow was $272 million, exceeding its increased forecast, and it expects to generate at least $200 million in 2026.

Publication Date: Feb -16

📋 Highlights
  • Streaming Dominance:: Streaming became AMC Networks' largest domestic revenue source, driving $272 million in free cash flow (exceeding forecasts) for 2025.
  • Revenue & Profitability:: Consolidated revenue reached $2.3 billion with adjusted operating income of $412 million, reflecting an 18% margin.
  • Debt Management:: Net debt stood at $1.3 billion with a leverage ratio of 3.1x, while $7.5 million was spent repurchasing 850,000 shares in Q4.
  • Advertising Shift:: Digital advertising reversed declines, growing via streaming/FAST/AVOD channels, offsetting linear revenue drops (2026 guidance: low double-digit domestic ad declines).

Revenue Diversification and Advertising Growth

The company has made significant strides in reorienting its advertising business to capitalize on the shift towards streaming, FAST, and AVOD. In 2025, it saw growth in each of these areas, with digital advertising becoming a growth area. The ad contribution from streaming and FAST channels is now a meaningful portion of their business, with advertisers able to buy across platforms or pick and choose. As CEO Kristin Dolan noted, the company's strategy is focused on creating high-quality content, and it has made significant investments in this area.

Balance Sheet and Share Repurchases

AMC Networks ended 2025 with net debt of approximately $1.3 billion and a consolidated net leverage ratio of 3.1 times. The company repurchased approximately 850,000 shares of its Class A common stock for $7.5 million in the fourth quarter, demonstrating its commitment to returning value to shareholders.

Outlook and Valuation

For 2026, AMC Networks expects consolidated revenue of approximately $2.25 billion, with consolidated AOI of around $350 million. The company anticipates that linear revenue declines will outpace digital growth, with domestic advertising revenue decreasing in the low double-digit percent area. With a P/E Ratio of 3.7 and an EV/EBITDA of 1.24, the company's valuation appears reasonable, especially given its Free Cash Flow Yield of 81.3%. Analysts estimate revenue growth at -1.5% for next year, but the company's strong content slate and production team are well-positioned to mitigate this decline.

Content Strategy and Future Opportunities

The company is continuing to invest heavily in premium programming, with a strong production team taking advantage of tax incentives. The return of The Walking Dead rights to AMC Networks could provide significant opportunities, and the company is optimistic about monetizing this content. With a robust content slate for 2025 and 2026, AMC Networks is well-positioned for future growth, despite the anticipated decline in linear revenue.

3. NewsRoom

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AMC Networks Announces Consent Solicitation to Amend its Senior Secured Notes due 2032

Feb -12

Source: globenewswire.com

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AMC Networks (AMCX) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

Feb -12

Source: zacks.com

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AMC Networks Inc. (AMCX) Q4 2025 Earnings Call Transcript

Feb -12

Source: seekingalpha.com

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AMC Networks (AMCX) Tops Q4 Earnings and Revenue Estimates

Feb -11

Source: zacks.com

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AMC Networks Posts Mixed Q4 Results As Streaming Overtakes Linear TV As Top U.S. Revenue Source

Feb -11

Source: deadline.com

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AMC Networks Inc. Reports Fourth Quarter and Full Year 2025 Results

Feb -11

Source: globenewswire.com

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AMC Networks (AMCX) Expected to Announce Quarterly Earnings on Wednesday

Feb -04

Source: defenseworld.net

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Is the Options Market Predicting a Spike in AMC Networks Stock?

Jan -29

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (3.67%)

6. Segments

Domestic

Expected Growth: 3.47%

AMC Networks Inc.'s domestic segment growth of 3.47% is driven by increasing demand for its popular TV shows, such as The Walking Dead, and expansion of its streaming services, including AMC Premiere and Acorn TV. Additionally, the company's focus on niche audiences and targeted advertising has contributed to revenue growth.

International and Other

Expected Growth: 4.8%

AMC Networks Inc.'s International and Other segment growth of 4.8% is driven by increasing demand for its content in emerging markets, expansion of its streaming services, and strategic partnerships with local broadcasters. Additionally, the company's focus on producing high-quality, globally appealing content and its ability to adapt to changing viewer habits also contribute to its growth.

Corporate / Inter-segment Eliminations

Expected Growth: 4.63%

AMC Networks Inc.'s 4.63% growth in Corporate/Inter-segment Eliminations is driven by increased affiliate fees, robust advertising revenue, and strategic cost savings initiatives. Additionally, the company's focus on producing high-quality content, expanding its international presence, and investing in digital platforms have contributed to this growth.

7. Detailed Products

AMC

AMC is a popular cable television channel that offers a wide range of programming, including original series, movies, and documentaries.

IFC

IFC is a cable television channel that focuses on comedy, satire, and alternative programming.

WE tv

WE tv is a cable television channel that targets women and focuses on reality TV, scripted series, and movies.

SundanceTV

SundanceTV is a cable television channel that focuses on independent films, documentaries, and original series.

Sundance Now

Sundance Now is a streaming service that offers a wide range of independent films, documentaries, and original series.

Shudder

Shudder is a streaming service that specializes in horror, thriller, and suspense content.

Acorn TV

Acorn TV is a streaming service that offers a wide range of British and international TV shows and movies.

UMC (Urban Movie Channel)

UMC is a streaming service that offers a wide range of urban-focused TV shows and movies.

AMC Studios

AMC Studios is a production company that produces original content for AMC Networks' channels and streaming services.

8. AMC Networks Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for AMC Networks Inc. is medium due to the availability of alternative entertainment options such as streaming services and social media platforms.

Bargaining Power Of Customers

The bargaining power of customers for AMC Networks Inc. is low due to the company's strong brand recognition and loyal customer base.

Bargaining Power Of Suppliers

The bargaining power of suppliers for AMC Networks Inc. is medium due to the company's dependence on a few major suppliers for content creation and distribution.

Threat Of New Entrants

The threat of new entrants for AMC Networks Inc. is high due to the low barriers to entry in the entertainment industry and the increasing popularity of streaming services.

Intensity Of Rivalry

The intensity of rivalry for AMC Networks Inc. is high due to the highly competitive nature of the entertainment industry and the presence of established players such as Netflix and Disney+.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 70.32%
Debt Cost 3.95%
Equity Weight 29.68%
Equity Cost 10.06%
WACC 5.76%
Leverage 236.88%

11. Quality Control: AMC Networks Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Sinclair Broadcast Group

A-Score: 5.5/10

Value: 8.0

Growth: 4.4

Quality: 3.2

Yield: 10.0

Momentum: 4.5

Volatility: 3.0

1-Year Total Return ->

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Cinemark

A-Score: 4.8/10

Value: 6.8

Growth: 5.3

Quality: 5.0

Yield: 2.0

Momentum: 4.0

Volatility: 5.7

1-Year Total Return ->

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Stock-Card
AMC Networks

A-Score: 4.3/10

Value: 10.0

Growth: 3.1

Quality: 4.9

Yield: 0.0

Momentum: 4.0

Volatility: 3.7

1-Year Total Return ->

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Marcus

A-Score: 3.8/10

Value: 4.4

Growth: 4.0

Quality: 4.0

Yield: 3.0

Momentum: 1.0

Volatility: 6.3

1-Year Total Return ->

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Stock-Card
Gaia

A-Score: 3.4/10

Value: 7.8

Growth: 4.0

Quality: 4.5

Yield: 0.0

Momentum: 1.5

Volatility: 2.7

1-Year Total Return ->

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Dave & Buster's

A-Score: 3.0/10

Value: 6.0

Growth: 5.9

Quality: 2.5

Yield: 0.0

Momentum: 1.0

Volatility: 2.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

8.06$

Current Price

8.06$

Potential

-0.00%

Expected Cash-Flows