Is Cineplex a great stock to buy now?

Cineplex (TSX:CGX) remains one of the top stocks of interest among Motley Fool investors and it’s easy to see why. The economy is in recovery mode. Doors are opening once more. And that includes the doors to theatres. Even more than that, some of the peers of Cineplex stock have seen a surge in not just revenues but also share price.

What segments does Cineplex operate in?

It operates through the following segments: Film Entertainment and Content, Media, Amusement and Leisure, and Location Based Entertainment. The company was founded in 1912 and is headquartered in Toronto, Canada. CGX | Complete Cineplex Inc. stock news by MarketWatch. View real-time stock prices and stock quotes for a full financial overview.

Why were investors interested in Cineplex before the crash?

One of the main reasons investors were interested in Cineplex ( TSX:CGX) before the crash was its dividend. Shares of the company soared to all-time highs before the pandemic hit, with the dividend yield at 5.31%. Investors before the crash saw Cineplex stock as a solid long-term dividend investment, as who would stop going to the movies?

Can Cineplex stock fight back against the pandemic?

In the case of Cineplex stock, this is the only thing it can do to fight back in today’s environment. Being able to pick up theatre popcorn through meal delivery services and even limiting cash burn simply won’t cut it. Pre-pandemic, revenue hit $1.6 billion in 2019’s second quarter.