Expert Outlook: National CineMedia Through The Eyes Of 4 Analysts

Throughout the last three months, 4 analysts have evaluated National CineMedia NCMI, offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $6.88, a high estimate of $8.00, and a low estimate of $6.00. This current average reflects an increase of 14.67% from the previous average price target of $6.00.

Analyzing Analyst Ratings: A Detailed Breakdown

A comprehensive examination of how financial experts perceive National CineMedia is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to National CineMedia. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of National CineMedia compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of National CineMedia's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of National CineMedia's market standing. Stay informed and make data-driven decisions with our Ratings Table.

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About National CineMedia

National CineMedia Inc is a cinema advertising platform in the U.S. It derives revenue from the sale of advertising to national, regional and local businesses through The Noovie Show, the cinema advertising and entertainment show seen on movie screens across the U.S., on LEN, a series of strategically-placed screens located in movie theater lobbies, as well as other forms of advertising and promotions in theater lobbies.

Breaking Down National CineMedia's Financial Performance

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, National CineMedia showcased positive performance, achieving a revenue growth rate of 269.59% as of 30 June, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Communication Services sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -15.9%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): National CineMedia's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -2.2%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -1.63%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: National CineMedia's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.03.

Analyst Ratings: What Are They?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.