Starz Entertainment Corp.: Bullish Thesis on Niche Positioning and Restructuring-Driven Value Creation in Streaming.

Starz Entertainment Corp. (STRZ) is a media company with a dual-revenue model, comprising OTT streaming and legacy pay-TV business. Despite a weak Q1 result, the company has a niche in premium content for women and underrepresented audiences, backed by an exclusive output deal with Lionsgate through 2028. Management aims for sustainable free cash flow generation by FY27. Activist investors have taken stakes, reinforcing discipline around capital allocation and strategic execution. Potential catalysts include deleveraging, subscriber growth, and consolidation with smaller linear networks. The stock is undervalued and could potentially double from current levels.