Maxim Group Maintains a 'Buy' on Carmike Cinemas (CKEC); Q2 Preview; Takeover Speculation
Tweet Send to a FriendGet Alerts CKEC Hot Sheet
Price: $17.65 +0.86%
Rating Summary:
9 Buy, 1 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Rating Summary:
9 Buy, 1 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 13
Trade CKEC Now!
Maxim Group maintains a 'Buy' on Carmike Cinemas (NASDAQ: CKEC) price target of $21.50.
Analyst, John Tinker, said, "YTD, box office is still up 10% y/y, and we are now forecasting FY12 theatrical box office at $10.8B, up 6% y/y but lower than our previous estimate of $11.1B, due to the weak 2Q12 box office performance and potential weaker audience attendance due to the Aurora, CO tragedy..We are forecasting 3Q12 box office of $2.99B (up 3% y/y) and 4Q12 box office of $2.45B (up 4% y/y). FY12 is expected to end with the much anticipated The Hobbit and The Twilight Saga: Breaking Dawn Part 2."
FY12 revenues lowered from $540 million to $538 million
Investors are currently speculating on Carmike being taken over, especially following the proposed acquisition of AMC by Dalian Wanda Group, a large Chinese real estate operator. Dalian Wanda is estimated to have valued AMC at 8.0x LTM EBITDA multiple. A similar multiple would value CKEC at ~$28 per share. CKEC recently raised equity partly for expansion and acquisition opportunities, suggesting that talk of its sale may be premature. Selling Screenvision or bringing it public could highlight a “hidden asset” – this is subject to the controlling shareholder’s, Shamrock Capital, requirements.
For an analyst ratings summary and ratings history on Carmike Cinemas click here. For more ratings news on Carmike Cinemas click here.
Shares of Carmike Cinemas closed at $13.50 yesterday, with a 52 week range of $5.14-$15.80.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Analyst, John Tinker, said, "YTD, box office is still up 10% y/y, and we are now forecasting FY12 theatrical box office at $10.8B, up 6% y/y but lower than our previous estimate of $11.1B, due to the weak 2Q12 box office performance and potential weaker audience attendance due to the Aurora, CO tragedy..We are forecasting 3Q12 box office of $2.99B (up 3% y/y) and 4Q12 box office of $2.45B (up 4% y/y). FY12 is expected to end with the much anticipated The Hobbit and The Twilight Saga: Breaking Dawn Part 2."
FY12 revenues lowered from $540 million to $538 million
Investors are currently speculating on Carmike being taken over, especially following the proposed acquisition of AMC by Dalian Wanda Group, a large Chinese real estate operator. Dalian Wanda is estimated to have valued AMC at 8.0x LTM EBITDA multiple. A similar multiple would value CKEC at ~$28 per share. CKEC recently raised equity partly for expansion and acquisition opportunities, suggesting that talk of its sale may be premature. Selling Screenvision or bringing it public could highlight a “hidden asset” – this is subject to the controlling shareholder’s, Shamrock Capital, requirements.
For an analyst ratings summary and ratings history on Carmike Cinemas click here. For more ratings news on Carmike Cinemas click here.
Shares of Carmike Cinemas closed at $13.50 yesterday, with a 52 week range of $5.14-$15.80.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Janney Capital Boosts PT on Gap (GPS) Post Q1
- Wedbush Downgrades salesforce.com (CRM) to Neutral
- Toll Bros. (TOL) Estimates/PT Raised at Compass Point
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS View, RumorsRelated Entities
Maxim Group
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
