Cinema Stocks Surge as ‘Barbenheimer’ Excels
Shares of several cinema chains including Cinemark (CNK:US) and Imax (IMAX:US) soared on Monday after two blockbuster Hollywood movies “Barbie” and “Oppenheimer” attracted robust attendance over the weekend.
Barbie, a comedy about the company’s famous fashion doll, generated $155 million in ticket sales in the United States and Canada while Oppenheimer – the much-anticipated three-hour epic directed by Christopher Nolan – attracted $80.5 million in ticket sales.
Rosenblatt analyst Steve Frankel said the weekend performance marked “a watershed event” for Hollywood.
"Moviegoers embraced fresh ideas, rather than the steady stream of franchise films that have dominated the release calendar," Frankel said.
IMAX said that Universal Pictures’ Oppenheimer set its biggest July opening weekend ever after generating $35 million on 740 screens worldwide.
"'Oppenheimer' is an undeniable demonstration of a paradigm shift in moviegoing, with IMAX taking a commanding share of global box office as audiences show a clear preference for experiences that transcend the ordinary in cinema," said Rich Gelfond, CEO of IMAX.
“Barbenheimer” weekend is currently set to become the fourth-highest weekend performance of all time.
Similarly, Mattel (MAT:US) shares rose over 2% on Monday as investors expect a boost from increased Barbie doll sales.
Congressman Ro Khanna sold some Mattel shares earlier this year. Similarly, Rep. Earl Blumenauer sold IMAX shares in June last year.
Moreover, AMC Entertainment (AMC:US) shares opened 33% higher on Monday. In addition to Barbenheimer, after the company’s conversion proposal was rejected by a Delaware judge.
