Cinemark (NYSE:CNK) Rating Lowered to Buy at Wall Street Zen

Key Points

• Wall Street Zen downgraded Cinemark from “strong buy” to “buy,” while the broader analyst consensus remains “Moderate Buy” with an average price target of $37.93.
• Cinemark reported better-than-expected quarterly results, earning $1.19 per share versus the $1.03 consensus estimate and generating $1.09 billion in revenue, up 15.5% year over year.
• CNK shares opened at $36.04, near their 52-week high of $38.98; institutional investors including BlackRock and Connor Clark & Lunn recently established sizable positions.

Cinemark (NYSE:CNK - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued on Saturday.

Other research analysts have also recently issued research reports about the company. Morgan Stanley set a $40.00 target price on Cinemark in a report on Wednesday, July 29th. Roth Capital set a $40.00 price target on Cinemark in a research note on Thursday, July 30th. Benchmark raised their price objective on Cinemark from $37.00 to $40.00 and gave the stock a "buy" rating in a report on Friday, July 31st. Weiss Ratings raised Cinemark from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, August 21st. Finally, Moffett Nathanson reiterated a "buy" rating and set a $40.00 target price on shares of Cinemark in a report on Thursday, July 30th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $37.93.

Cinemark Stock Performance

Shares of CNK stock opened at $36.04 on Friday. Cinemark has a one year low of $21.60 and a one year high of $38.98. The company has a debt-to-equity ratio of 3.87, a quick ratio of 0.81 and a current ratio of 0.84. The company has a 50 day moving average price of $34.10 and a 200 day moving average price of $30.35. The firm has a market capitalization of $4.18 billion, a price-to-earnings ratio of 21.33 and a beta of 1.00.

Cinemark (NYSE:CNK - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $1.19 earnings per share for the quarter, beating analysts' consensus estimates of $1.03 by $0.16. Cinemark had a net margin of 6.44% and a return on equity of 50.94%. The company had revenue of $1.09 billion for the quarter, compared to analyst estimates of $1.03 billion. During the same quarter last year, the business earned $0.63 EPS. Cinemark's revenue for the quarter was up 15.5% on a year-over-year basis. Sell-side analysts anticipate that Cinemark will post 2.36 EPS for the current year.

Institutional Investors Weigh In On Cinemark

Institutional investors have recently modified their holdings of the stock. Connor Clark & Lunn Investment Management Ltd. bought a new stake in Cinemark in the second quarter valued at about $22,657,000. State of New Jersey Common Pension Fund D bought a new position in Cinemark during the 4th quarter worth approximately $1,661,000. BlackRock Inc. bought a new position in Cinemark during the 2nd quarter worth approximately $530,855,000. UBS Group AG grew its position in shares of Cinemark by 49.8% in the 4th quarter. UBS Group AG now owns 1,100,402 shares of the company's stock worth $25,573,000 after acquiring an additional 365,630 shares in the last quarter. Finally, EP Wealth Advisors LLC acquired a new position in shares of Cinemark in the 2nd quarter worth approximately $449,000.

Cinemark Company Profile

Cinemark Holdings, Inc NYSE: CNK is a leading theatrical exhibitor that acquires, develops and operates motion picture theatres under the Cinemark® brand in the United States and Latin America. The company's core business involves the presentation of first-run feature films coupled with an array of in‐theatre services, including concessions, premium auditoriums and loyalty programs. Cinemark's exhibition portfolio encompasses both corporate‐owned and franchised complexes, offering moviegoers a range of experiences from standard screens to large‐format halls.

The company's product offerings extend beyond ticket sales to include an assortment of concession items, such as popcorn, fountain beverages, candy and specialty snacks, as well as bar and lounge concepts in select locations.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source