Top Movie Stocks To Buy

Are Movie Stocks Really a Good Investment?  With the movie and entertainment industry continually evolving technologically and towards streaming services, should investors really be putting their money into movie stocks?

It’s no secret that the pandemic turned the stock market on its head. The movie theater industry was especially hit hard due to lockdowns and various restrictions throughout 2020 and 2021. In turn, many movie stocks took a beating.

On the other hand, movie streaming stocks like Netflix soared during the same time frame as more people were stuck at home, with many spending their free time catching up on their favorite television shows and movies through their streaming subscriptions. 

Decades ago, the movie industry was nearly recession-proof. Unfortunately, for big movie companies, the movie industry no longer holds the precedent that it once did. So, all things considered, are movie stocks really a good investment today?

Certainly, the nature of the movie industry has changed over the last few decades, there is still money to be made within the multi-billion dollar industry. From movie theater stocks to movie streaming stocks, there are still many great investing options when looking at movie stocks. Here are the top movie stocks to buy today.

What Is The Best Movie Stock To Buy?

The following are our top five movie stock picks among both movie theater stocks and movie streaming stocks.  

AMC Entertainment Holdings Inc. (AMC)

One of the biggest movie stocks turning heads over the last couple of years has been AMC Entertainment Holdings Inc., listed on the stock exchange under the stock ticker AMC.

The AMC Entertainment company was founded in 1920 and began trading on the major stock exchanges in 2013 with an IPO price of around $20 per share. 

Thanks to the meme stock surge, AMC stock hit an all-time high of around $70 per share in June 2021. The stock has experienced a great deal of volatility over the last year, with a 52-week low of $8.31 per share and a 52-week high of $72.62 per share. As of April 2022, AMC stock is currently trading at around $18 per share. 

While volatility still surrounds AMC, this movie theater stock makes it onto our list as it remains one of the fastest-growing movie theater stocks with the potential to continually increase its revenue growth. Revenues are up 103% from 2021 to 2022 to $2.5 billion.

Investors should keep in mind that AMC is likely to stay volatile over the next few years, but there is still potential to make substantial gains through this stock. 

IMAX Corp. (IMAX)

The next movie stock on our list is IMAX Corp., listed on all the major stock exchanges under the stock ticker IMAX.

Founded in 1967, IMAX Corp. is a Canadian theater company which designs and manufactures IMAX cameras and projection systems. The company went public in 1994 and began trading with an IPO price of around $5 per share. 

The stock hit an all-time high in June 2015, trading around $40 per share. Prior to the onset of the pandemic, IMAX was trading at around $16 per share. The stock took a hit during the pandemic but has since returned to its pre-pandemic prices.

AMC stock’s 52-week low is $13.60 per share, and its 52-week high is $23.57 per share. 

IMAX stock is an appealing movie stock as it is highly specialized, producing premium screens that give viewers a one-of-a-kind experience and allows movie theaters to charge a premium price for their tickets.

In addition, IMAX’s premium viewing format will have consumers continually going to movie theaters simply for the experience in favor of watching everything through streaming services. Overall, IMAX stock is a strong pick for investors looking for a movie stock with a strong balance sheet.

From 2020 to 2021, IMAX grew revenue by 86% from $137 million to $254 million.

Cinemark Holdings Inc. (CNK)

Next up on our top movie stocks list is Cinemark Holdings Inc., listed under the stock ticker symbol CNK.

Founded in 1984 and headquartered in Plano, Texas, Cinemark Holdings Inc. is a holding company that, through its subsidiaries, owns and operates movie theaters throughout the Americas and Taiwan. The company went public in 2007 and began trading at an IPO price of around $19 per share. 

CNK was continually on the rise until the pandemic. It hit an all-time high in March 2015, trading for around $45 per share. CNK continued on this trajectory until March 2020, when the stock price fell to just $10 per share.

Cinemark has been able to recover over the last two years but is still not trading at its pre-pandemic levels. The stock’s 52-week low is $13.37 per share, and its 52-week high is $25.20 per share. 

CNK makes it on our list of top movie stocks because of its strong revenue growth. Cinemark Holdings Inc. is one of the fastest-growing movie theater stocks with the highest YOY sales growth for the most recent quarter. Revenues rose from $686 million to $1.5 billion, a 120.1% rise.

With the stock still below its pre-pandemic price levels, CNK stock is still trading at a discount. Based on a discounted cash flow analysis, the upside opportunity is 34.7% at the time of research to $21.21.

Netflix (NFLX)

Moving away from movie theater stocks towards movie streaming stocks, Netflix has to be on our top movie stocks list.

Founded in 1997, Netflix has become one of the major American subscription streaming services over the last two decades.

Unlike the companies mentioned above, Netflix stock was supported during the pandemic as more people were forced to stay indoors, and many opted to purchase streaming services like Netflix to pass the time. 

The company went public in 2002, trading under the stock ticker NFLX. The stock’s IPO price was around $15 per share. It has flourished over the last two decades, reaching an all-time high in October 2021 of around $700 per share.

The stock’s 52-week low is $329.82 per share, and its 52-week high is $700.99 per share. 

With streaming services becoming a household staple, if there’s any movie stock that should be on an investor’s watchlist, it’s Netflix. 

Based on a discounted cash flow forecast analysis, Netflix has upside potential of 50.9% now to $536 per share.

Disney (DIS) 

The final company on our top movie stock list is the one and only Disney. Like Netflix, Disney experienced massive growth in its streaming services during the pandemic. 

Founded in 1923, The Walt Disney Company is an American multinational entertainment and media conglomerate headquartered in Burbank, California. The company went public in 1957, trading for around $13 per share under the DIS. 

The stock hit an all-time high in January 2021, trading for around $184 per share. Disney stock’s 52-week low is $128.38 per share, and its 52-week high is $190.40 per share.

With the historic success of Disney coupled with its many projects for the future, Disney is another movie stock that belongs in the portfolio of nearly every investor.

A discounted cash flow forecast reveals a fair market value per share of $148, suggesting double-digit upside at this time.

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The author has no position in any of the stocks mentioned. Financhill has a disclosure policy. This post may contain affiliate links or links from our sponsors.