After three years of outperforming the S&P 500, the big four theater stocks, Regal Entertainment Group RGC 2.04%, AMC Entertainment Holdings Inc AMC 2.42%, Cinemark Holdings, Inc. CNK 0.86% and Carmike Cinemas, Inc. CKEC 4.69%, underperformed the S&P as a group in 2015. In a new report, Macquarie Research analyst Chad Beynon explains why he believes 2016 will be a bounce-back year for these stocks.
“In ’16 we view theaters as a place to park money, and favor companies with reseat/concession growth, an M&A history/appetite and good capital allocation,” Beynon writes.
Macquarie prefers…
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