Zee's core broadcast business and execution have been admirable over FY12-19 under Punit Goenka. However, the delay to sell promoter stake in the face of financial stress at group level is persistently affecting longer term prospects for minority shareholders. This quarter also saw a commendable pro-forma performance, but balance sheet and capital allocation are spinning out of control, in our view. We are unable to justify erstwhile high valuation multiples any more. A majority stake sale to a credible acquirer (e.g. Sony) can drive up shareholder value, else the current drift will only be destructive if it persists. Zee Entertainments 4QFY19 operating beat conceals a sharp deterioration in working capital. Curiously enough, this has come after six months of struggle on promoters intent to sell stake. We downgrade Zee to NEUTRAL with TP of Rs 352 @ 18x FY21E EPS (25x earlier).