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TSX

Cineplex Inc.

CGX.TOCommunication ServicesEntertainment
Current Price
$9.63
Today's Change
+4.22%
Market Cap
$611.18M
Volume
685.67K

💡 Quick Take

Cineplex Inc. operates as an entertainment and media company in Canada and internationally, focusing on film entertainment and content. While it boasts a strong gross margin of 67.5%, its net margin is concerningly negative at -2.9%, indicating profitability challenges. Additionally, a low current ratio of 0.52 suggests potential liquidity issues. Despite the positive price movement today, the overall financial health score of 27/100 raises red flags about its sustainability and operational efficiency.

Based on 25 data points⚠️Not financial advice

📊 Key Metrics

52 Week High$12.72
52 Week Low$8.40
Avg Volume296.21K
Beta0.80
Shares Outstanding63.47M

🔥 Valuation

Market Cap$611.18M
Enterprise Value$2.27B
P/E Ratio-16.60
EV/EBITDAN/A
Dividend Yield0.00%

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🚩 Red Flags

🟠

High Debt Load

Debt of $1.8B is 13.4x the company's cash position of $134.0M.

🌟 Opportunities

🚀

Gross margin expanded by 8.3 percentage points, indicating improved pricing power or cost efficiency.

🚀

Operating margin expanded by 3.6pp, demonstrating strong operational leverage.

🚀

Both gross margin (+8.3pp) and operating margin (+3.6pp) are expanding simultaneously, indicating the company is scaling profitably.

🚀

Exceptional gross margin of 67.4% indicates strong pricing power and competitive moat.

💪

Strong free cash flow margin of 11.0% provides substantial resources for dividends, buybacks, or reinvestment.

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