Cinemark Holdings Inc (NYSE:CNK) Given Consensus Recommendation of "Moderate Buy" by Analysts

Key Points

• Cinemark Holdings Inc has received a consensus recommendation of "Moderate Buy" from analysts, with three holding and nine buying ratings, and an average target price of $35.30.
• The company reported quarterly earnings of $0.63 per share, which missed expectations, while revenue of $940.50 million showed a year-over-year increase of 28.1%.
• Cinemark recently announced a quarterly dividend of $0.08 per share, resulting in an annual dividend yield of 1.2% and a payout ratio of 17.49%.

Cinemark Holdings Inc (NYSE:CNK - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the twelve ratings firms that are currently covering the stock, Marketbeat.com reports. Three research analysts have rated the stock with a hold recommendation and nine have assigned a buy recommendation to the company. The average 1-year target price among analysts that have updated their coverage on the stock in the last year is $35.30.

CNK has been the topic of several research reports. Benchmark restated a "buy" rating and set a $35.00 price objective on shares of Cinemark in a report on Wednesday, July 2nd. Wall Street Zen upgraded shares of Cinemark from a "sell" rating to a "hold" rating in a report on Sunday, August 10th. Barrington Research restated an "outperform" rating and set a $36.00 price objective on shares of Cinemark in a report on Tuesday, September 23rd. Wedbush upgraded shares of Cinemark from a "neutral" rating to an "outperform" rating and increased their target price for the company from $32.00 to $37.00 in a report on Friday, July 11th. Finally, JPMorgan Chase & Co. increased their target price on shares of Cinemark from $37.00 to $38.00 and gave the company an "overweight" rating in a report on Thursday, October 9th.

Cinemark Stock Performance

CNK opened at $26.44 on Friday. The company has a current ratio of 0.91, a quick ratio of 0.88 and a debt-to-equity ratio of 4.32. The company's fifty day moving average price is $26.93 and its two-hundred day moving average price is $28.79. Cinemark has a 1-year low of $23.12 and a 1-year high of $36.28. The company has a market cap of $3.04 billion, a price-to-earnings ratio of 14.45, a PEG ratio of 1.89 and a beta of 1.75.

Cinemark (NYSE:CNK - Get Free Report) last released its quarterly earnings data on Friday, August 1st. The company reported $0.63 earnings per share for the quarter, missing the consensus estimate of $0.78 by ($0.15). Cinemark had a return on equity of 59.16% and a net margin of 9.13%.The business had revenue of $940.50 million for the quarter, compared to analyst estimates of $942.14 million. During the same quarter in the previous year, the company posted $0.32 EPS. The business's quarterly revenue was up 28.1% on a year-over-year basis. On average, analysts expect that Cinemark will post 1.93 EPS for the current fiscal year.

Cinemark Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, September 10th. Stockholders of record on Wednesday, August 27th were issued a $0.08 dividend. The ex-dividend date was Wednesday, August 27th. This represents a $0.32 annualized dividend and a dividend yield of 1.2%. Cinemark's dividend payout ratio is currently 17.49%.

Insider Activity at Cinemark

In other news, EVP Melissa Thomas sold 7,200 shares of the stock in a transaction dated Friday, August 15th. The shares were sold at an average price of $25.17, for a total value of $181,224.00. Following the completion of the sale, the executive vice president owned 203,768 shares in the company, valued at $5,128,840.56. This represents a 3.41% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 2.10% of the stock is currently owned by corporate insiders.

Institutional Trading of Cinemark

Several institutional investors and hedge funds have recently made changes to their positions in CNK. EverSource Wealth Advisors LLC raised its holdings in shares of Cinemark by 118.5% in the second quarter. EverSource Wealth Advisors LLC now owns 935 shares of the company's stock valued at $28,000 after purchasing an additional 507 shares during the last quarter. Elevation Point Wealth Partners LLC bought a new position in Cinemark during the second quarter valued at about $47,000. Financial Consulate Inc. bought a new position in Cinemark during the third quarter valued at about $50,000. Meeder Asset Management Inc. bought a new position in Cinemark during the third quarter valued at about $63,000. Finally, Russell Investments Group Ltd. grew its position in Cinemark by 242.9% during the first quarter. Russell Investments Group Ltd. now owns 3,532 shares of the company's stock valued at $88,000 after buying an additional 2,502 shares during the period.

Cinemark Company Profile

Cinemark Holdings, Inc, together with its subsidiaries, engages in the motion picture exhibition business. As of February 16, 2024, it operated 501 theatres with 5,719 screens in 42 states and 13 countries in South and Central America. Cinemark Holdings, Inc was founded in 1984 and is headquartered in Plano, Texas.

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