Marcus (MCS) shares rallied 6.3% in the last trading session to close at $24.89. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 23.6% gain over the past four weeks.
The recent gain in The Marcus Corporation's shares was driven by strong momentum in its entertainment business. A major catalyst was the blockbuster debut of Toy Story 5, which helped Marcus Theatres achieve record June opening weekend total revenue, as well as record combined concession, merchandise, and food and beverage sales, strengthening investor confidence in theatrical demand and the company's exhibition business.
This operator of movie theaters, hotels and resorts is expected to post quarterly earnings of $0.31 per share in its upcoming report, which represents a year-over-year change of +34.8%. Revenues are expected to be $216.52 million, up 5.1% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For Marcus, the consensus EPS estimate for the quarter has been revised 7% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on MCS going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Marcus is part of the Zacks Leisure and Recreation Services industry. Norwegian Cruise Line (NCLH), another stock in the same industry, closed the last trading session 1.2% higher at $21.24. NCLH has returned 14.8% in the past month.
Norwegian Cruise Line's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.39. Compared to the company's year-ago EPS, this represents a change of -23.5%. Norwegian Cruise Line currently boasts a Zacks Rank of #4 (Sell).
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Marcus Corporation (The) (MCS): Free Stock Analysis Report
Norwegian Cruise Line Holdings Ltd. (NCLH): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).