Cinemark upgraded to Buy from Neutral at B. Riley

B. Riley upgraded Cinemark to Buy from Neutral with a price target of $27, up from $16. The analyst sees further upside in the stock with a focus on 2025. The firm admits it underestimated the potential for Cinemark shares to “push through any concerns” in 2024 as investors increasingly focused on a potential box office rebound in 2025. While the company is not immune to the overall industry box office weakness caused by the film slate disruption and a handful of disappointing releases, the combination of continued overall post-pandemic market share gains and a movie slate that may have favored the circuit’s regional demographic should help Cinemark counter the overarching box office headwinds, the analyst tells investors in a research note.