Reports that Vue cinemas saw its busiest weekend in four years had positive read-across to listed cinema operators. Despite the prospect of imminent delisting from the UK stock market, investors were still prepared to take the risk of trading shares in Cineworld, up 10% on the prospect that bumper ticket sales for Barbie and Oppenheimer will be good for earnings. Posh cinema chain Everyman also got a lift from the positive sentiment towards the sector, rising 2%.
Danni Hewson, head of financial analysis at AJ Bell, said: “Cinemas across the country have been packed with people seeing what the fuss is all about with Barbie, giving the industry a much-needed boost. For some, it was the first time they’ve been in a cinema since the pandemic struck and a pleasant experience could encourage them to visit more often.
“Many film lovers even took the opportunity to check out other films over the weekend with the latest instalments of Indiana Jones and Mission Impossible providing entertainment to those who didn’t want the extremes of Barbenheimer.”