Cinemark (NYSE:CNK) Stock Lifted to "Strong-Buy" by Zacks Research

Key Points

• Zacks Research upgraded Cinemark to “strong buy” from “hold,” while the broader analyst consensus remains “Moderate Buy” with an average price target of $37.93.
• Cinemark shares opened at $38.15, near their 52-week high of $39.07. The company reported quarterly EPS of $1.19 and revenue of $1.09 billion, exceeding analyst expectations.
• Several institutional investors increased their Cinemark holdings, including GAMMA Investing, PNC Financial Services, Allspring Global Investments, and Gabelli Funds.

Cinemark (NYSE:CNK - Get Free Report) was upgraded by equities researchers at Zacks Research from a "hold" rating to a "strong-buy" rating in a note issued to investors on Tuesday, Zacks reports.

Other analysts also recently issued reports about the stock. Wedbush lifted their price objective on shares of Cinemark from $40.00 to $43.00 and gave the company an "outperform" rating in a research report on Friday, July 31st. The Goldman Sachs Group raised shares of Cinemark from a "sell" rating to a "neutral" rating and boosted their target price for the company from $23.00 to $30.00 in a research note on Wednesday, July 8th. Wall Street Zen cut shares of Cinemark from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 29th. Wells Fargo & Company raised their price target on shares of Cinemark from $31.00 to $34.00 and gave the company an "equal weight" rating in a research note on Friday, July 31st. Finally, Weiss Ratings upgraded shares of Cinemark from a "buy (b-)" rating to a "buy (b)" rating in a research note on Thursday, October 8th. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $37.93.

Cinemark Price Performance

Shares of NYSE CNK opened at $38.15 on Tuesday. Cinemark has a 1-year low of $21.60 and a 1-year high of $39.07. The company has a debt-to-equity ratio of 3.87, a current ratio of 0.84 and a quick ratio of 0.81. The business's fifty day moving average price is $36.38 and its two-hundred day moving average price is $32.54. The firm has a market capitalization of $4.42 billion, a PE ratio of 22.45 and a beta of 1.03.

Cinemark (NYSE:CNK - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The company reported $1.19 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.03 by $0.16. The company had revenue of $1.09 billion during the quarter, compared to the consensus estimate of $1.03 billion. Cinemark had a net margin of 6.44% and a return on equity of 50.94%. The company's revenue for the quarter was up 15.5% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.63 earnings per share. On average, research analysts expect that Cinemark will post 2.49 EPS for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of CNK. GAMMA Investing LLC boosted its stake in shares of Cinemark by 7.8% during the 3rd quarter. GAMMA Investing LLC now owns 5,371 shares of the company's stock worth $200,000 after acquiring an additional 389 shares in the last quarter. Gabelli Funds LLC grew its holdings in shares of Cinemark by 0.5% in the 1st quarter. Gabelli Funds LLC now owns 101,866 shares of the company's stock worth $2,905,000 after acquiring an additional 490 shares during the last quarter. PNC Financial Services Group Inc. grew its holdings in shares of Cinemark by 14.3% in the 1st quarter. PNC Financial Services Group Inc. now owns 7,613 shares of the company's stock worth $217,000 after acquiring an additional 951 shares during the last quarter. Public Employees Retirement System of Ohio acquired a new position in shares of Cinemark in the 2nd quarter worth $32,000. Finally, Allspring Global Investments Holdings LLC grew its holdings in shares of Cinemark by 12.0% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 9,721 shares of the company's stock worth $277,000 after acquiring an additional 1,041 shares during the last quarter.

Cinemark Company Profile

Cinemark Holdings, Inc is a motion picture exhibition company that operates movie theaters in the United States and Latin America. Through its Cinemark and other regional theater brands, the company shows first-run films and provides audiences with large-format entertainment experiences.

Cinemark's services include movie ticketing, food and beverage concessions, premium seating, and enhanced presentation formats such as its XD auditoriums. The company also offers customer loyalty programs, advertising opportunities, private theater rentals, and other event-based entertainment services.

Founded in 1987 by Lee Roy Mitchell, Cinemark is headquartered in Plano, Texas.

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