National CineMedia downgraded to Neutral from Buy at B. Riley

B. Riley downgraded National CineMedia (NCMI) to Neutral from Buy with a price target of $6, down from $8.50, following a transfer of coverage. The firm is “generally constructive” on the exhibitor space, saying the sector is underpinned by a strong Hollywood film slate for 2025 and 2026 that should fuel further box office recovery and benefit relevant industry participants. Riley also finds limited tariff risk and a history of movie-going resiliency during periods of economic weakness “to be additional market themes that are supportive of this favorable backdrop.” The firm’s top pick across the group is Imax (IMAX), followed by Marcus (MCS). Riley reduced reducing estimates for National CineMedia’s 2025 and 2026, citing lower performance for Q1 relative to prior projections and limited near-term visibility around advertising.