National CineMedia (NASDAQ:NCMI) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Thursday, Zacks.com reports. The firm currently has a $7.75 price target on the business services provider’s stock. Zacks Investment Research‘s price objective would indicate a potential upside of 4.59% from the stock’s current price.
According to Zacks, “NATIONAL CINEMEDIA operates the largest digital in theatre network in North America that allows them to distribute advertisements and other content for our advertising, meetings and events businesses utilizing our proprietary digital content network. They have long term exhibitor services agreements with our founding members, Cinemark and Regal, the three largest motion picture exhibition companies in the U.S.and multi year agreements with several other theatre operators whom they refer to as network affiliates. The network affiliate agreements grant them exclusive rights, subject to limited exceptions, to sell advertising on their theatre screens. “
Several other analysts also recently commented on NCMI. ValuEngine downgraded shares of National CineMedia from a “hold” rating to a “sell” rating in a research report on Friday, May 24th. BidaskClub raised shares of National CineMedia from a “hold” rating to a “buy” rating in a research report on Thursday. Barrington Research restated a “market perform” rating on shares of National CineMedia in a research note on Friday, May 17th. TheStreet cut shares of National CineMedia from a “b-” rating to a “c” rating in a research note on Tuesday, May 7th. Finally, Wedbush upgraded shares of National CineMedia from a “neutral” rating to an “outperform” rating and set a $8.00 price objective for the company in a research note on Wednesday, June 19th. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating and four have issued a buy rating to the stock. The stock currently has an average rating of “Buy” and a consensus target price of $8.58.
NCMI stock opened at $7.41 on Thursday. The company has a market capitalization of $585.20 million, a price-to-earnings ratio of 20.03 and a beta of 0.74. National CineMedia has a 12 month low of $5.88 and a 12 month high of $10.94. The firm has a 50 day moving average of $6.99 and a two-hundred day moving average of $7.10.
National CineMedia (NASDAQ:NCMI) last posted its earnings results on Monday, August 5th. The business services provider reported $0.11 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.10 by $0.01. The company had revenue of $110.20 million during the quarter, compared to the consensus estimate of $113.07 million. National CineMedia had a net margin of 8.12% and a negative return on equity of 36.78%. The company’s revenue for the quarter was down 3.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.05 earnings per share. As a group, sell-side analysts expect that National CineMedia will post 0.46 earnings per share for the current fiscal year.
In other news, major shareholder General L.P. Standard acquired 30,000 shares of National CineMedia stock in a transaction dated Wednesday, August 21st. The stock was acquired at an average cost of $7.07 per share, for a total transaction of $212,100.00. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 3.90% of the stock is currently owned by insiders.
Several institutional investors have recently modified their holdings of NCMI. Legal & General Group Plc raised its stake in National CineMedia by 4.9% during the 4th quarter. Legal & General Group Plc now owns 36,269 shares of the business services provider’s stock valued at $235,000 after purchasing an additional 1,702 shares during the last quarter. Gamco Investors INC. ET AL raised its stake in National CineMedia by 5.9% during the 2nd quarter. Gamco Investors INC. ET AL now owns 36,000 shares of the business services provider’s stock valued at $236,000 after purchasing an additional 2,000 shares during the last quarter. Strs Ohio raised its stake in National CineMedia by 7.5% during the 2nd quarter. Strs Ohio now owns 43,000 shares of the business services provider’s stock valued at $282,000 after purchasing an additional 3,000 shares during the last quarter. Los Angeles Capital Management & Equity Research Inc. raised its stake in National CineMedia by 1.9% during the 1st quarter. Los Angeles Capital Management & Equity Research Inc. now owns 159,997 shares of the business services provider’s stock valued at $1,128,000 after purchasing an additional 3,040 shares during the last quarter. Finally, Supplemental Annuity Collective Trust of NJ raised its stake in National CineMedia by 5.7% during the 2nd quarter. Supplemental Annuity Collective Trust of NJ now owns 74,000 shares of the business services provider’s stock valued at $485,000 after purchasing an additional 4,000 shares during the last quarter. Institutional investors and hedge funds own 89.65% of the company’s stock.
About National CineMedia
National CineMedia, Inc, through its subsidiary, National CineMedia, LLC, operates a digital in-theater network in North America. The company engages in the sale of advertising to national, regional, and local businesses in Noovie, a cinema advertising and entertainment pre-show seen on movie screens; and sells advertising on its Lobby Entertainment Network, a series of strategically-placed screens located in movie theater lobbies, as well as other forms of advertising and promotions in theatre lobbies.
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