Zacks Investment Research lowered shares of National CineMedia (NASDAQ:NCMI) from a buy rating to a hold rating in a research note released on Thursday morning, Zacks.com reports.
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. “
NCMI has been the topic of several other research reports. B. Riley set a $10.00 target price on shares of National CineMedia and gave the stock a buy rating in a report on Wednesday, August 21st. Wedbush raised shares of National CineMedia from a neutral rating to an outperform rating and set a $8.00 target price on the stock in a report on Wednesday, June 19th. BidaskClub raised shares of National CineMedia from a buy rating to a strong-buy rating in a report on Saturday, August 31st. Barrington Research reaffirmed a market perform rating on shares of National CineMedia in a report on Friday, May 17th. Finally, ValuEngine lowered shares of National CineMedia from a hold rating to a sell rating in a report on Friday, May 24th. One research analyst has rated the stock with a sell rating, one has assigned a hold rating, three have given a buy rating and one has issued a strong buy rating to the stock. The stock has a consensus rating of Buy and a consensus target price of $9.08.
Shares of National CineMedia stock opened at $8.14 on Thursday. The firm has a market capitalization of $645.22 million, a PE ratio of 22.00 and a beta of 0.71. The company’s fifty day moving average price is $7.44 and its two-hundred day moving average price is $7.19. National CineMedia has a 52-week low of $5.88 and a 52-week high of $10.94.
National CineMedia (NASDAQ:NCMI) last announced its quarterly earnings results on Monday, August 5th. The business services provider reported $0.11 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.10 by $0.01. The firm had revenue of $110.20 million for the quarter, compared to analyst estimates of $113.07 million. National CineMedia had a net margin of 8.12% and a negative return on equity of 36.78%. The business’s revenue for the quarter was down 3.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.05 EPS. As a group, sell-side analysts forecast that National CineMedia will post 0.46 EPS for the current year.
The company also recently announced a quarterly dividend, which was paid on Friday, August 30th. Stockholders of record on Thursday, August 15th were issued a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 8.35%. The ex-dividend date was Wednesday, August 14th. National CineMedia’s payout ratio is 183.78%.
In other news, major shareholder General L.P. Standard bought 110,000 shares of the stock in a transaction dated Monday, August 26th. The shares were acquired at an average price of $7.71 per share, with a total value of $848,100.00. The acquisition was disclosed in a filing with the SEC, which is accessible through this hyperlink. In the last ninety days, insiders bought 527,000 shares of company stock worth $4,001,060. 3.90% of the stock is owned by insiders.
A number of large investors have recently modified their holdings of the business. UBS Asset Management Americas Inc. grew its holdings in National CineMedia by 11.9% during the 2nd quarter. UBS Asset Management Americas Inc. now owns 53,359 shares of the business services provider’s stock worth $350,000 after acquiring an additional 5,675 shares during the last quarter. Cubist Systematic Strategies LLC grew its holdings in National CineMedia by 24.7% during the 2nd quarter. Cubist Systematic Strategies LLC now owns 39,347 shares of the business services provider’s stock worth $258,000 after acquiring an additional 7,801 shares during the last quarter. Jefferies Group LLC bought a new stake in National CineMedia during the 2nd quarter worth about $339,000. Alberta Investment Management Corp grew its holdings in National CineMedia by 10.8% during the 2nd quarter. Alberta Investment Management Corp now owns 154,600 shares of the business services provider’s stock worth $1,014,000 after acquiring an additional 15,100 shares during the last quarter. Finally, AQR Capital Management LLC grew its holdings in National CineMedia by 81.1% during the 2nd quarter. AQR Capital Management LLC now owns 49,551 shares of the business services provider’s stock worth $325,000 after acquiring an additional 22,186 shares during the last quarter. 89.92% of the stock is currently owned by hedge funds and other institutional investors.
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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