.jpg "National Cinemedia (NASDAQ: NCMI)")
In a report released today, Eric Wold from B.Riley FBR upgraded National Cinemedia (NASDAQ: NCMI) to Buy, with a price target of $7. The company’s shares opened today at $5.98.
Wold commented:
“Before the open this morning, 5/7, National CineMedia (NCMI) reported 1Q18 results that exceeded our above-consensus estimates for both revenues and adjusted OIBDA. Within our preview note published on 4/30, we predicted the potential for strong scatter ad demand to drive an impressive gain in ad revenue per screen, but were admittedly still conservative given the positive underlying trends to start the year. While we acknowledge 1Q is typically the lowest contributing quarter of any year, we came away from the results increasingly positive on the potential for this year’s results to exceed expectations given 1) impressive inventory utilization during 1Q (95% vs. 76% in the year-ago period); 2) improving CPM trends on a stronger scatter ad spend mix; and 3) the YTD strength of box office trends to attract more advertisers/brands to the in-theater ad window. On the heels of our upgrade to Buy on 3/19, we are reiterating our Buy rating and unchanged $7 PT.”
According to TipRanks.com, Wold is a 4-star analyst with an average return of 6.9% and a 54.0% success rate. Wold covers the Services sector, focusing on stocks such as Cinemark Holdings Inc, AMC Entertainment, and Red Lion Hotels.
National Cinemedia has an analyst consensus of Moderate Buy, with a price target consensus of $7.
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Based on National Cinemedia’s latest earnings release for the quarter ending December 31, the company reported a quarterly GAAP net loss of $5.4 million. In comparison, last year the company had a GAAP net loss of $5 million.
Based on the recent corporate insider activity of 25 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of NCMI in relation to earlier this year.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
National CineMedia, Inc. is a holding company that engages in the provision of advertising, business meetings, event services and third-party theatre circuits under network affiliate agreements. It owns and operates the digital in-theatre network in North America, which is used to distribute content for its advertising promotions, Fathom Events.
