Cinemark price target raised to $24 from $22 at Morgan Stanley

Morgan Stanley analyst Benjamin Swinburne raised the firm’s price target on Cinemark to $24 from $22 and keeps an Overweight rating on the shares. When the firm had previously upgraded shares last summer, the thesis centered on the box office recovery driving de-leveraging and equity appreciation and its conviction in studios and consumers embracing theatrical has been “further reinforced by the Barbenheimer summer,” the analyst tells investors. While the ongoing dual labor strikes have created new uncertainty over the film slate, “balancing the permanence of the good news with the transience of the bad news” keeps the firm at Overweight on Cinemark shares, the analyst added.