B. Riley reiterates Buys on Imax, Marcus despite two recent ‘duds’

B. Riley analyst Eric Wold reiterates Buy ratings on both Imax (IMAX) and Marcus (MCS) citing the “exceptional” quarter-to-date box office performance, “even with two duds.” The firm keeps Neutral ratings on AMC Entertainment (AMC) and Cinemark (CNK). In recent weeks, two highly anticipated films underwhelmed at the domestic box office – “The Flash” and “Elemental,” the analyst tells investors in a research note. Nevertheless, the total quarter-to-date domestic box office of $2.575B through this past weekend represents an “exceptional” 86% of the $2.986B that was generated through the same period in 2019, says Riley. The firm says that while any adverse impacts to 2024 box office projections would pose potential risks to Imax and Marcus estimates, both companies have opportunities to help offset that risk.