UPDATE: Barrington Research Upgrades National CineMedia to Outperform on Ad Demand Outlook
Barrington Research raised its rating on National CineMedia (NASDAQ: NCMI) from Market Perform to Outperform with a $17 price target.
Barrington Research commented, "While near-term results are expected to show some elements of weakness, we expect that over time management's challenges will shift to managing ad demand in a way that will create an environment in which CPMs on national ad spots can move higher. We view this as a story that continues to evolve, and should provide substantial opportunity given the core value proposition of targeting a demographically attractive captive audience at a time in which the advertising driven content is unavoidable and typically embraced as preferable to a blank screen. The yield is now an even more attractive 6.7%, following the recent pullback in the stock."
National CineMedia closed at $13.14 on Thursday.
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