National CineMedia (NASDAQ:NCMI) Trading 9.2% Higher - Here's Why

National CineMedia, Inc. (NASDAQ:NCMI - Get Free Report) traded up 9.2% during trading on Tuesday . The company traded as high as $5.32 and last traded at $5.35. 254,544 shares were traded during mid-day trading, a decline of 60% from the average session volume of 634,757 shares. The stock had previously closed at $4.90.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on the stock. Benchmark reiterated a "buy" rating and set a $8.00 target price on shares of National CineMedia in a research note on Friday, March 7th. B. Riley cut National CineMedia from a "buy" rating to a "neutral" rating and set a $6.00 price objective for the company. in a research report on Friday, May 16th. William Blair reissued a "neutral" rating and issued a $7.50 target price on shares of National CineMedia in a report on Friday, March 7th. Barrington Research reaffirmed an "outperform" rating and set a $7.00 price target on shares of National CineMedia in a report on Friday, March 14th. Finally, Wall Street Zen lowered shares of National CineMedia from a "hold" rating to a "sell" rating in a research report on Thursday, May 8th. One analyst has rated the stock with a sell rating, two have issued a hold rating and three have given a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and an average target price of $7.20.

National CineMedia Stock Performance

The company has a debt-to-equity ratio of 0.03, a current ratio of 2.46 and a quick ratio of 2.46. The stock has a 50-day moving average price of $5.61 and a 200-day moving average price of $6.29. The firm has a market capitalization of $513.49 million, a PE ratio of -21.76 and a beta of 2.12.

National CineMedia (NASDAQ:NCMI - Get Free Report) last posted its quarterly earnings results on Tuesday, May 6th. The business services provider reported ($0.24) EPS for the quarter, missing the consensus estimate of ($0.20) by ($0.04). National CineMedia had a negative net margin of 9.49% and a negative return on equity of 2.61%. The business had revenue of $34.90 million during the quarter, compared to analyst estimates of $35.13 million. On average, research analysts expect that National CineMedia, Inc. will post -0.12 EPS for the current fiscal year.

National CineMedia Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, May 30th. Shareholders of record on Friday, May 16th will be given a $0.03 dividend. The ex-dividend date of this dividend is Friday, May 16th. This represents a $0.12 annualized dividend and a yield of 2.20%. National CineMedia's dividend payout ratio (DPR) is -63.16%.

Insider Buying and Selling

In other National CineMedia news, major shareholder Blantyre Capital Ltd bought 300,000 shares of the company's stock in a transaction dated Friday, March 7th. The shares were bought at an average price of $5.12 per share, for a total transaction of $1,536,000.00. Following the acquisition, the insider now directly owns 10,250,721 shares of the company's stock, valued at approximately $52,483,691.52. This trade represents a 3.01% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 0.25% of the company's stock.

Institutional Investors Weigh In On National CineMedia

Several large investors have recently made changes to their positions in NCMI. SG Americas Securities LLC increased its position in National CineMedia by 39.7% in the 4th quarter. SG Americas Securities LLC now owns 43,210 shares of the business services provider's stock worth $287,000 after buying an additional 12,281 shares during the period. Rhumbline Advisers grew its position in National CineMedia by 3.1% during the 4th quarter. Rhumbline Advisers now owns 107,069 shares of the business services provider's stock worth $711,000 after acquiring an additional 3,219 shares during the last quarter. Ieq Capital LLC acquired a new stake in National CineMedia in the 4th quarter valued at about $93,000. Oppenheimer Asset Management Inc. raised its position in shares of National CineMedia by 16.3% during the fourth quarter. Oppenheimer Asset Management Inc. now owns 65,424 shares of the business services provider's stock worth $434,000 after acquiring an additional 9,147 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its stake in National CineMedia by 1.0% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 728,915 shares of the business services provider's stock valued at $4,840,000 after acquiring an additional 7,218 shares during the last quarter. Institutional investors own 69.49% of the company's stock.

National CineMedia Company Profile

National CineMedia, Inc, through its subsidiary, National CineMedia, LLC, operates cinema advertising network in North America. It engages in the sale of advertising to national, regional, and local businesses in Noovie, a cinema advertising and entertainment show seen on movie screens; and sells advertising on its Lobby Entertainment Network, a series of strategically-placed screens located in movie theater lobbies, as well as other forms of advertising and promotions in theatre lobbies.

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