The Globe and Mail reports in its Friday, Aug. 16, edition that TD Cowen analyst Derek Lessard continues to rate Cineplex "buy." The Globe's David Leeder writes in the Eye On Equities column that Mr. Lessard gave his share target a $2 boost to $16. Analysts on average target the shares at $13.
Mr. Lessard says in a note: "Cineplex shares have had a solid 13-per-cent rebound following last week's NCIB announcement, but trail Cinemark Holdings 200-per-cent-plus run since Jan/23 (vs. 30 per cent for Cineplex). In addition to the healthier balance sheet, given the better visibility on film releases we expect a material improvement in profitability (and FCF) going forward, which should lift valuation and push the share price closer to our new street-high $16 target." The Globe reported on June 18 that Scotia Capital analyst Maher Yaghi continued to rate Cineplex "sector outperform." The shares could then be had for $7.26. The Globe reported on July 12 that National Bank analyst Adam Shine was keeping an "outperform" ranking on Cineplex after assessing its most recent business conditions. The shares were then going for $8.47.
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