AMC Networks (AMCX) PT Raised to $10 at UBS on Higher Cash Generation, Visibility

UBS analyst John Hodulik raised the price target on AMC Networks (NASDAQ: AMCX) to $10.00 (from $6.00) while maintaining a Sell rating.

The analyst commented, "We are updating estimates and increasing our price target to $10 as we incorporate additional cash generation and enhanced visibility from the Walking Dead licensing with Netflix, announced at 2Q earnings. That said, we maintain our Sell rating as secular issues in linear TV remain unresolved while growth in streaming is moderating faster than anticipated, creating a tough equation for underlying trends going forward. With differences in revenue recognition vs. cash receipts for the Walking Dead deal (revenue largely recognized in '26-27 but cash received over ~5 years), we now expect AOI of $374M in '27E and $250M in '28E (prior $307M / $270M). Our FCF estimates move to $240M and $172M for '27E and '28E (prior $141M / $127M)."

You May Also Be Interested In

• Pizza Hut CEO Aaron Powell resigns
• Science Applications (SAIC) PT Raised to $123 at UBS
• Designer Brands (DBI) PT Lowered to $6 at UBS