Can AMC, IMAX, and National CineMedia Keep Going After Last Week's Pop?
Some of this year's hardest hit stocks came through with big gains last week. Shares of National CineMedia (NASDAQ: NCMI), AMC Entertainment (NYSE: AMC), and IMAX (NYSE: IMAX) soared 33%, 27%, and 16% respectively last week.
There were a couple of minor company-specific developments helping push the stocks higher, but the primary catalyst was the record-breaking opening week for Time Warner's (NYSE: TWX) It. The silver screen adaptation of Stephen King's book and subsequent television miniseries shattered opening weekend records for any horror film as well as any movie debuting in September. The movie took in far more in its first week at the multiplex than all of the movies combined a week earlier.
Before Time Warner's It brought people back to the local multiplex the exhibitors were getting creamed. Year-over-year ticket sales had declined sharply for four straight months, and the industry suffered its worst weekend in more than 15 years late last month. It is saving the summer, and it's also providing a temporary fire under many of the stocks that live and die by movie theater audiences.
Source: Fool.com
