Marcus (NYSE:MCS) Releases Earnings Results, Beats Estimates By $0.04 EPS

Key Points

• Marcus (NYSE:MCS) reported quarterly earnings of $0.23 per share, exceeding expectations by $0.04, with revenue of $206.04 million against an estimated $192.79 million.
• Despite beating earnings expectations, Marcus stock fell 8.8% following the announcement, opening at $14.93.
• The company declared a quarterly dividend of $0.07 per share, yielding 1.9%, but has a negative dividend payout ratio of -66.67%.

Marcus (NYSE:MCS - Get Free Report) posted its quarterly earnings results on Friday. The company reported $0.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.19 by $0.04, Zacks reports. Marcus had a net margin of 1.91% and a return on equity of 4.28%. The company had revenue of $206.04 million for the quarter, compared to analyst estimates of $192.79 million.

Marcus Price Performance

Shares of MCS traded up $0.07 during mid-day trading on Thursday, reaching $14.80. The stock had a trading volume of 37,674 shares, compared to its average volume of 202,283. The firm has a market cap of $463.24 million, a price-to-earnings ratio of 32.89, a PEG ratio of 2.79 and a beta of 1.24. Marcus has a 12 month low of $12.47 and a 12 month high of $23.16. The business has a fifty day moving average of $17.10 and a 200 day moving average of $17.67. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.42 and a current ratio of 0.39.

Marcus Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Monday, August 25th will be given a dividend of $0.08 per share. This represents a $0.32 annualized dividend and a yield of 2.2%. This is a positive change from Marcus's previous quarterly dividend of $0.07. The ex-dividend date is Monday, August 25th. Marcus's dividend payout ratio (DPR) is presently 62.22%.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. Barrington Research reiterated an "outperform" rating and issued a $25.00 target price on shares of Marcus in a research note on Monday. Wedbush started coverage on shares of Marcus in a research report on Friday, July 18th. They set an "outperform" rating and a $24.00 price objective on the stock. B. Riley started coverage on shares of Marcus in a research report on Friday, May 16th. They set a "buy" rating and a $24.00 price objective on the stock. Benchmark restated a "buy" rating and set a $25.00 price objective on shares of Marcus in a research report on Friday, April 11th. Finally, Wall Street Zen cut shares of Marcus from a "buy" rating to a "hold" rating in a research report on Thursday, May 15th. One analyst has rated the stock with a hold rating, three have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Marcus presently has an average rating of "Buy" and a consensus target price of $24.50.

Hedge Funds Weigh In On Marcus

A number of hedge funds have recently modified their holdings of MCS. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Marcus by 4.7% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 13,849 shares of the company's stock worth $231,000 after buying an additional 624 shares during the period. Empowered Funds LLC increased its holdings in shares of Marcus by 2.1% during the 1st quarter. Empowered Funds LLC now owns 172,745 shares of the company's stock valued at $2,883,000 after purchasing an additional 3,562 shares in the last quarter. Finally, Millennium Management LLC grew its stake in Marcus by 11.1% in the 1st quarter. Millennium Management LLC now owns 392,634 shares of the company's stock valued at $6,553,000 after acquiring an additional 39,118 shares during the period. 81.57% of the stock is currently owned by institutional investors.

Marcus Company Profile

The Marcus Corporation, together with its subsidiaries, owns and operates movie theatres, and hotels and resorts in the United States. It operates a family entertainment center and multiscreen motion picture theatres under the Big Screen Bistro, Big Screen Bistro Express, BistroPlex, and Movie Tavern by Marcus brand names.