Cineworld Group (CINE)

Sector:

Tourism and Leisure Services

Index:

FTSE 250

52.66p
   
  • Change Today:
    -3.94p
  • 52 Week High: 262.80
  • 52 Week Low: 21.38
  • Currency: UK Pounds
  • Shares Issued: 1,371.97m
  • Volume: 20,977,239
  • Market Cap: £722.48m
  • RiskGrade: 780

Berenberg reiterates 'buy' rating on Cineworld

By Iain Gilbert

Date: Thursday 05 Sep 2019

LONDON (ShareCast) - (Sharecast News) - Analysts at Berenberg stood by their 'buy' rating on British theatre operator Cineworld on Thursday after taking its time to delve through the group's first-half results.
While Berenberg thinks some concerns surrounding the group are warranted, the analysts believe that the majority should be addressed in the second half.

The German bank acknowledged that one of the main areas of worry regarding Cineworld was that its US business had underperformed at the box office by roughly nine or 10 percentage points.

However, Berenberg said it was "confident" that the US unit's performance should improve in the second half "for a number of reasons", such as evidence of "solid traction" in Cineworld's recently launched Regal Unlimited programme, site closures beginning to annualise and "a growing tailwind from 2020 onwards" as a result of refurbishments.

"All considered, the impressive margin performance in H1 more than offset the weaker top line, and combined with an improved release slate in H2, we remain comfortable that Cineworld will achieve consensus estimates," said the analysts.

It also believed the group's cash conversion was set to improve in the tail end of 2019 thanks to "big reversals" in working capital, capital expenditures and interest costs.

"With the shares trading on a double-digit free-cash-flow yield, risk looks skewed to the upside," concluded Berenberg, which also reiterated its 360p target price for Cineworld.

Cineworld's free cash flow was pegged at £400.0m in 2019 for a FCF yield of 11%, with a medium-term upside to consensus FCF estimates from greater capex efficiency in its regal refurbishment programme.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Cineworld Group Market Data

Currency UK Pounds
Share Price 52.66p
Change Today -3.94p
% Change -6.96 %
52 Week High 262.80
52 Week Low 21.38
Volume 20,977,239
Shares Issued 1,371.97m
Market Cap £722.48m
RiskGrade 780

Cineworld Group Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
91.28% above the market average91.28% above the market average91.28% above the market average91.28% above the market average91.28% above the market average
80.00% above the sector average80.00% above the sector average80.00% above the sector average80.00% above the sector average80.00% above the sector average
Price Trend
95.4% below the market average95.4% below the market average95.4% below the market average95.4% below the market average95.4% below the market average
97.26% below the sector average97.26% below the sector average97.26% below the sector average97.26% below the sector average97.26% below the sector average
Income
88.45% above the market average88.45% above the market average88.45% above the market average88.45% above the market average88.45% above the market average
82.22% above the sector average82.22% above the sector average82.22% above the sector average82.22% above the sector average82.22% above the sector average
Growth
73.43% above the market average73.43% above the market average73.43% above the market average73.43% above the market average73.43% above the market average
82.61% above the sector average82.61% above the sector average82.61% above the sector average82.61% above the sector average82.61% above the sector average

What The Brokers Say

Strong Buy 4
Buy 0
Neutral 3
Sell 1
Strong Sell 1
Total 9
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Cineworld Group Dividends

  Latest Previous
  Special Q3
Ex-Div 20-Jun-19 12-Dec-19
Paid 05-Jul-19 10-Jan-20
Amount 20.27¢ 3.75¢

Trades for 14-Jul-2020

Time Volume / Share Price
16:35 79,669 @ 52.66p
16:35 292,845 @ 52.66p
16:35 1,116,015 @ 52.66p
16:29 5,610 @ 53.10p
16:29 100 @ 53.10p

Cineworld Group Key Personnel

CEO Moshe (Mooky) Greidinger
Chair Alicja Kornasiewicz
CFO Nisan Cohen

Top of Page