13:01:41 EST Sat 16 Jan 2021
Enter Symbol
or Name

Login ID:
Cineplex Inc
Symbol CGX
Shares Issued 63,333,238
Close 2020-11-19 C$ 9.12
Recent Sedar Documents

Globe says Fan cuts Cineplex to "sector perform"

2020-11-20 08:32 ET - In the News

The Globe and Mail reports in its Friday edition that Scotia Capital analyst Jeff Fan has cut his rating on Cineplex to "sector perform" from "sector outperform." The Globe's David Leeder writes that Mr. Fan continues to target the shares at $11. Analysts on average target the shares at $10.62. Mr. Fan says the shares rapid rally compelled him to issue his downgrade. Mr. Fan says in a note: "CGX shares have more than doubled in just over a month and are up over 50 per cent in the past week alone. At the close, the stock is now within 13 per cent of our one-year target price. ... As a reminder, the October pullback was triggered by the delay of expected film releases in October and Q4, index selling, and several analysts' downgrades. The film delays made meeting the Q4/F20 covenants very challenging for CGX. The company successfully negotiated a six-month extension and has done a good job managing cash flow and liquidity. We believe CGX is managing cash burn well and estimate cash burn will remain $60-million per quarter for Q4 and Q1 before working capital and tax benefits. We believe CGX has sufficient liquidity to bridge the next two quarters before the expected return of blockbuster films in April 2021."

© 2021 Canjex Publishing Ltd. All rights reserved.