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Marcus
(NYSE:MCS)
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Rating:69Neutral
Price Target:
$33.00
▲(38.54% Upside)
Action:Reiterated
Date:08/18/26
The score is driven primarily by improving financial performance led by strong recent cash generation, reinforced by bullish technical momentum (price above major moving averages and positive MACD). The latest earnings call adds support via higher free-cash-flow expectations from lower capex and improving operating metrics. These positives are tempered by valuation risk from a high P/E and only a modest dividend yield.
Positive Factors
Strong revenue and earnings growth
Broad-based growth across theatres and hotels indicates improved operating execution and demand. Higher revenue, EBITDA and earnings provide a stronger base for reinvestment and shareholder returns over the next several quarters.
Negative Factors
Dependence on film slate and cadence
The theatre business remains structurally dependent on the timing and quality of studio releases, which the company cannot control. Uneven content availability can create volatile attendance, concessions and quarterly earnings despite sound execution.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue and earnings growth
Broad-based growth across theatres and hotels indicates improved operating execution and demand. Higher revenue, EBITDA and earnings provide a stronger base for reinvestment and shareholder returns over the next several quarters.
Read all positive factors
Marcus (MCS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$897.08M
Dividend Yield1.05%
Average Volume (3M)170.60K
Price to Earnings (P/E)41.6
Beta (1Y)0.71
Revenue Growth1.81%
EPS Growth65.53%
CountryUS
Employees2,349
SectorCommunication Services
Sector Strength97
IndustryEntertainment
Share Statistics
EPS (TTM)0.73
Shares Outstanding23,847,574
10 Day Avg. Volume243,663
30 Day Avg. Volume170,604
Financial Highlights & Ratios
PEG Ratio-0.14
Price to Book (P/B)1.04
Price to Sales (P/S)0.63
P/FCF Ratio480.51
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$32.25Price Target Upside35.39% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
EPS Forecast (FY)0.69
Revenue Forecast (FY)$801.21M
Marcus Business Overview & Revenue Model
Company Description
Operating primarily within the United States, The Marcus Corporation is a diversified enterprise focused on entertainment and hospitality. Its operations are structured into two principal segments: Theatres, and Hotels and Resorts. The Theatres se...
How the Company Makes Money
Marcus generates revenue primarily through net interest income and, to a lesser extent, fees tied to lending and card partnerships. (1) Deposit-based banking: Marcus takes in consumer deposits (savings and CDs) and pays customers interest on those...
Marcus Earnings Call Summary
Earnings Call Date:Jul 30, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Positive
The call highlighted broad, material improvements across revenue, profitability, cash flow, and operating metrics in both theatres and hotels, with multiple record or post-pandemic highs and clear outperformance vs peers. Management acknowledged remaining sources of volatility (film cadence, short booking windows, travel-cost sensitivity) and conservative discipline on capital allocation and M&A. On balance the positives and momentum substantially outweigh the manageable headwinds.Positive Updates
Record Consolidated Revenue and Profitability
Consolidated revenues of $232.0M, up 12.5% year-over-year; operating income $27M (more than doubled vs $13M); consolidated adjusted EBITDA $46.2M, up 43%; net earnings $15.8M, up 116%; diluted EPS $0.51, up ~121%.
Negative Updates
Dependence on Film Slate and Cadence Risk
Performance remains sensitive to film slate cadence; company noted quarter-to-quarter volatility and that slower weeks or weak tentpoles could make theatre execution more challenging despite ~50% incremental EBITDA flow-through in strong quarters.
Read all updates
Q2-2026 Updates
Positive
Negative
Record Consolidated Revenue and Profitability
Consolidated revenues of $232.0M, up 12.5% year-over-year; operating income $27M (more than doubled vs $13M); consolidated adjusted EBITDA $46.2M, up 43%; net earnings $15.8M, up 116%; diluted EPS $0.51, up ~121%.
Read all positive updates
Company Guidance
Management updated 2026 guidance and forward-looking metrics emphasizing cash generation and disciplined capital deployment: they now expect 2026 capital expenditures of roughly $45–50 million (with updates possible) and said lower CapEx should drive a “significant” increase in free cash flow—Q2 free cash flow was $44.0 million and first‑half free cash flow was reported at $22.0 million (a $65.0 million improvement year‑over‑year). Balance‑sheet metrics at quarter end included about $26.0 million of cash, over $245.0 million of total liquidity, debt‑to‑capitalization of 25% and net leverage of ~1.1x. Operational cadence/booking guidance: hotels continue to target industry RevPAR growth of low single digits for the full year (with opportunity to outperform), group room pace was ~3% ahead for 2026 and ~9% ahead for 2027 (banquet/catering pace similar) and ~80% of group business is on the books; for modelling theatres management suggested using roughly a 50% incremental admission‑to‑adjusted‑EBITDA flow‑through (Q2 was ~52%) and to assume admission/ADR growth moderates to low single digits in H2. They reiterated a preference to deploy excess cash into disciplined M&A or return it to shareholders via dividends/repurchases.Marcus Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
58
Neutral
Cash Flow
72
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 789.80M | 758.46M | 735.56M | 729.58M | 677.39M | 458.24M |
| Gross Profit | 882.62M | 293.38M | 287.36M | 286.54M | 257.39M | 183.74M |
| EBITDA | 105.53M | 90.37M | 68.72M | 101.67M | 80.41M | 31.84M |
| Net Income | 22.68M | 12.69M | -7.79M | 14.79M | -11.97M | -43.29M |
Balance Sheet | ||||||
| Total Assets | 999.55M | 1.01B | 1.04B | 1.07B | 1.06B | 1.19B |
| Cash, Cash Equivalents and Short-Term Investments | 26.34M | 23.45M | 48.98M | 60.95M | 25.64M | 22.27M |
| Total Debt | 319.98M | 335.48M | 352.63M | 379.06M | 407.77M | 515.10M |
| Total Liabilities | 542.66M | 557.15M | 579.66M | 593.93M | 607.68M | 734.75M |
| Stockholders Equity | 456.88M | 457.38M | 464.87M | 471.17M | 456.92M | 453.61M |
Cash Flow | ||||||
| Free Cash Flow | 66.69M | 989.00K | 24.73M | 63.85M | 56.37M | 29.17M |
| Operating Cash Flow | 126.63M | 84.20M | 103.94M | 102.63M | 93.21M | 46.25M |
| Investing Cash Flow | -56.30M | -71.37M | -81.90M | -36.75M | -346.00K | 10.88M |
| Financing Cash Flow | -56.04M | -30.82M | -37.30M | -30.55M | -92.41M | -47.17M |
Marcus Technical Analysis
Positive
23.82
Price Trends
25.16
Positive
21.79
Positive
18.69
Positive
Market Momentum
1.66
Positive
68.29
Neutral
62.57
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MCS, the sentiment is Positive. The current price of 23.82 is below the 20-day moving average (MA) of 28.65, below the 50-day MA of 25.16, and above the 200-day MA of 18.69, indicating a bullish trend. The MACD of 1.66 indicates Positive momentum. The RSI at 68.29 is Neutral, neither overbought nor oversold. The STOCH value of 62.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MCS.
Marcus Risk Analysis
Marcus disclosed 29 risk factors in its most recent earnings report. Marcus reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Marcus Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $2.77B | 71.62 | 11.87% | ― | 14.79% | 22.14% | |
69 Neutral | $897.08M | 41.58 | 5.01% | 1.34% | 1.81% | 65.53% | |
67 Neutral | $4.25B | 20.06 | 26.76% | 1.07% | 4.54% | -23.98% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
60 Neutral | $492.52M | -25.79 | -2.03% | ― | -4.59% | 87.95% | |
50 Neutral | $2.12B | -2.36 | 31.43% | ― | 6.41% | -19.34% | |
45 Neutral | $437.35M | -1.07 | -82.08% | ― | ― | ― |
* Communication Services Sector Average
MCS
Marcus
29.61
14.76
99.35%
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AMC
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Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.