Could Movie Theaters Get A Lift On 'Shang Chi's' Possible Box Office Record?
4:55 pm ET September 3, 2021 (Benzinga) Print
Labor Day marks the end of summer and brings last-minute vacations and outdoor activities. Could a Marvel movie break the holiday's box office record even with the COVID-19 pandemic continuing to weigh on movie theater performance?
What Happened: “Marvel’s Shang Chi and the Legend of the Ten Rings” hits theaters this weekend and has a chance to break the Labor Day weekend record currently held by “Halloween" from 2007.
Most predictions call for the movie to gross between $45 million and $50 million domestically, which would easily pass the $30 million posted by the “Halloween” remake. Last year’s Labor Day weekend was topped by “Tenet” with $9.35 million.
Walt Disney Co (NYSE: DIS) is hoping to have the usual success it has had with the Marvel Cinematic Universe. The lowest opening weekend for the Marvel universe is $55.4 million from “The Incredible Hulk.”
"Shang Chi" features a character from the “Doctor Strange” movie that grossed $85.1 million in its 2016 release, which went on to gross $232.6 million domestically and $677.8 million worldwide.
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Why It’s Important: The release of “Shang Chi and the Legend of the Ten Rings” could be a big test for theater chains like AMC Entertainment Holdings (NYSE: AMC) and Cinemark Holdings (NYSE: CNK).
The movie will be exclusive to movie theaters for 45 days before streaming on Disney+. “Jungle Cruise” and “Black Widow” were released with a hybrid model in theaters and as a premium option on Disney+. “Jungle Cruise” grossed $35 million and “Black Widow” grossed $80.4 million.
“Black Widow” grossed around 40% of its opening weekend total on Disney+, as subscribers skipped theaters and paid $30 to watch at home.
Many of the largest movies of the year have been released under a hybrid model of theater and streaming including “Space Jam” and “Suicide Squad,” which were released in theaters and free on HBO Max, owned by AT&T Inc (NYSE: T).
Strength from “Shang Chi and the Legend of the Ten Rings” would add to the success theaters saw from “Free Guy,” which grossed $28.4 million in its opening weekend and fell only 34.8% in its second weekend. “Free Guy” has been exclusive to theaters before hitting streaming services.
“Shang Chi and the Legend of the Ten Rings” could have lasting power due to its exclusive run and the fact that there are now other wide-release movies scheduled for the next two weekends.
IMDB, a movie database owned by Amazon.com Inc (NASDAQ: AMZN), is showing increased searches and interest for the movie and is tracking higher interest than “Black Widow,” which could be a positive sign for a strong box office performance.
