Cinemark price target lowered to $20 from $21 at Macquarie

Macquarie analyst Chad Beynon lowered the firm’s price target on Cinemark to $20 from $21 and keeps an Outperform rating on the shares. The firm says theatrical stocks underperformed in 2023 after a difficult 2022 and remain 60% off of pre-pandemic levels, while questions remain for 2024. The analyst is taking a conservative approach towards 2024 estimates, but believes there could be upside opportunities in the second half of the year. Imax (IMAX) remains Macquarie’s top pick followed by Cinemark (CNK) given their “superior” balance sheets and management teams as well as “inexpensive valuations.”