Marcus (MCS) AI Stock Analysis

• Market Cap: $456.43M
• Dividend Yield: 1.88%
• Average Volume (3M): 232.46K
• Price to Earnings (P/E): 33.7
• Beta (1Y): 0.51
• Revenue Growth: 13.28%
• EPS Growth: N/A
• Country: US
• Employees: 2,907
• Sector: Communication Services
• Sector Strength: 80
• Industry: Entertainment
• EPS (TTM): 0.23
• Shares Outstanding: 24,326,492
• 10 Day Avg. Volume: 304,399
• 30 Day Avg. Volume: 232,455
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.92
• Enterprise Value/Revenue: 1.13
• Enterprise Value/Gross Profit: 1.45
• Enterprise Value/Ebitda: 10.86
• 1Y Price Target: $24.50
• Price Target Upside: 64.32% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 65 Neutral
• Price Target: $16.00 ▲(7.31% Upside)

Marcus Corporation's overall stock score reflects a strong financial recovery and positive corporate developments. However, technical indicators suggest bearish momentum, and the stock appears overvalued based on its P/E ratio. The earnings call provided a positive outlook, but challenges in certain segments remain.

Positive Factors

Earnings and Financial Performance

Marcus delivered a strong second quarter, with both revenue and AEBITDA surpassing consensus estimates.

Market Position and Strategy

Marcus has achieved attendance growth that has outpaced major peers in 3 of the last 4 quarters, suggesting a widening customer base and effective loyalty-building strategy.

Valuation and Growth Potential

Marcus Corp is viewed as offering unmatched upside due to accelerating free cash flow, a deeply discounted valuation, and dual exposure to the box office recovery and high-margin hotel growth.

Negative Factors

Strategic Pricing

Admission sales underperformed peers slightly due to strategic pricing decisions focused on promotions to prioritize attendance over average ticket prices.

Theatre Performance

Theatres performance continues to trail the national box office growth rate, with admissions revenue rising 29.3% compared to a 36.5% increase for the broader U.S. box office.

Marcus Business Overview & Revenue Model

Company Description

Marcus (MCS) is a financial services company that operates primarily in the consumer banking sector. It offers a range of products and services, including savings accounts, personal loans, and investment management solutions. Marcus aims to provide transparent, user-friendly financial solutions to help individuals manage their personal finances effectively.

How the Company Makes Money

Marcus makes money through the interest rate differential on its lending and savings products. It earns revenue from interest charged on personal loans and credit products, while paying out lower interest rates on customer deposits held in savings accounts. Additionally, Marcus may generate income from investment advisory services and management fees associated with its investment products. Strategic partnerships with other financial institutions and technology companies also contribute to its revenue streams by expanding its customer base and enhancing its product offerings.

Marcus Financial Statement Overview

Summary

Marcus Corporation shows potential with revenue growth and improved gross margins. However, challenges include negative net income and free cash flow, impacting long-term profitability and financial stability.

Income Statement

The company has demonstrated consistent revenue growth over the years, with a recent TTM increase. Gross profit margins have improved, reflecting operational efficiency. However, profitability remains a concern with negative net income and EBIT in the latest TTM and previous annual reports.

Balance Sheet

The debt-to-equity ratio reflects moderate leverage, and the company maintains a healthy equity ratio. However, the decline in stockholders' equity over the recent periods is a concern that could impact future financial stability.

Cash Flow

Operating cash flow remains positive, indicating strong cash generation capability. However, free cash flow has turned negative in the TTM, indicating potential challenges in covering capital expenditures. The cash flow to net income ratios indicate a need for improvement in converting profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	775.79M	735.56M	729.58M	677.39M	458.24M	237.69M
Gross Profit	605.48M	327.84M	323.96M	257.39M	183.74M	51.14M
EBITDA	80.86M	68.72M	101.67M	74.53M	31.84M	-104.47M
Net Income	14.80M	-7.79M	14.79M	-9.10M	-43.29M	-124.87M
Balance Sheet
Total Assets	1.02B	1.04B	1.07B	1.06B	1.19B	1.25B
Cash, Cash Equivalents and Short-Term Investments	14.90M	48.98M	60.95M	21.70M	17.66M	6.75M
Total Debt	411.29M	352.63M	379.06M	407.77M	515.10M	563.47M
Total Liabilities	477.70M	579.66M	593.93M	607.68M	734.75M	755.46M
Stockholders Equity	1.02B	464.87M	471.17M	456.92M	453.61M	498.72M
Cash Flow
Free Cash Flow	-4.47M	24.73M	63.85M	56.37M	29.17M	-89.92M
Operating Cash Flow	79.37M	103.94M	102.63M	93.21M	46.25M	-68.55M
Investing Cash Flow	-72.80M	-81.90M	-36.75M	-346.00K	10.88M	-12.07M
Financing Cash Flow	-27.66M	-37.30M	-30.55M	-92.41M	-47.17M	69.10M

Marcus Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.91
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MCS, the sentiment is Negative. The current price of 14.91 is below the 20-day moving average (MA) of 17.05, below the 50-day MA of 17.25, and below the 200-day MA of 18.54, indicating a bearish trend. The MACD of -0.42 indicates Positive momentum. The RSI at 25.69 is Positive, neither overbought nor oversold. The STOCH value of 10.59 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MCS.

Marcus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MCS	65 Neutral	$456.43M	33.71	3.30%	1.88%	13.28%	―
CNK	65 Neutral	$2.93B	13.99	70.99%	0.62%	13.80%	109.00%
SPHR	62 Neutral	$1.49B	―	-15.64%	―	-5.04%	-155.66%
Sector *	61 Neutral	$41.49B	-2.82	-10.67%	3.99%	2.71%	-43.89%
AMCX	56 Neutral	$268.67M	13.94	-25.83%	―	-8.14%	-258.98%
AMC	49 Neutral	$1.23B	―	20.03%	―	-5.43%	26.07%
RDI	45 Neutral	$45.27M	―	-540.12%	―	-7.36%	18.52%

Marcus Corporate Events

Marcus Appoints Paul A. Leff to Board

On August 5, 2025, The Marcus Corporation expanded its Board of Directors to 11 members and appointed Paul A. Leff as a new independent director. Leff, founder of Warbasse67 and former managing director of Perry Capital, is expected to bring valuable financial management and strategic planning expertise to the company as it seeks growth opportunities for its Marcus Theatres and Marcus Hotels & Resorts divisions.

The most recent analyst rating on (MCS) stock is a Buy with a $27.00 price target. To see the full list of analyst forecasts on Marcus stock, see the MCS Stock Forecast page.

Marcus Approves 2025 Omnibus Incentive Plan

On May 7, 2025, The Marcus Corporation’s 2025 Omnibus Incentive Plan became effective following shareholder approval at the annual meeting. This plan allows for equity and cash incentive awards, including the issuance of up to 2,000,000 shares of common stock. The plan’s approval impacts the company’s operations by enabling it to offer substantial incentives to employees, potentially enhancing employee retention and aligning their interests with those of shareholders.

The most recent analyst rating on (MCS) stock is a Buy with a $27.00 price target. To see the full list of analyst forecasts on Marcus stock, see the MCS Stock Forecast page.