Covalent Partners LLC Has $3.04 Million Stake in Cinemark Holdings Inc $CNK

Key Points

• Covalent Partners LLC increased its holdings in Cinemark Holdings Inc by 74.3%, making it the largest position in their portfolio with a total of 122,000 shares valued at approximately $3 million.
• Multiple institutional investors, including Elequin Capital LP and Twin Tree Management LP, have significantly increased their investments in Cinemark, showcasing heightened interest in the company's stock.
• Cinemark reported $0.63 EPS for the last quarter, missing analysts' expectations, and announced a quarterly dividend of $0.08 per share, reflecting a continued commitment to returning value to shareholders.

Covalent Partners LLC boosted its stake in shares of Cinemark Holdings Inc (NYSE:CNK - Free Report) by 74.3% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 122,000 shares of the company's stock after purchasing an additional 52,000 shares during the quarter. Cinemark makes up 15.0% of Covalent Partners LLC's investment portfolio, making the stock its biggest holding. Covalent Partners LLC owned approximately 0.11% of Cinemark worth $3,037,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors and hedge funds have also made changes to their positions in the business. Mercer Global Advisors Inc. ADV increased its position in Cinemark by 3.8% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 16,270 shares of the company's stock worth $504,000 after buying an additional 591 shares in the last quarter. Elequin Capital LP increased its position in Cinemark by 211.6% during the fourth quarter. Elequin Capital LP now owns 997 shares of the company's stock worth $31,000 after buying an additional 677 shares in the last quarter. CWM LLC increased its position in Cinemark by 20.6% during the first quarter. CWM LLC now owns 6,548 shares of the company's stock worth $163,000 after buying an additional 1,118 shares in the last quarter. Teza Capital Management LLC boosted its holdings in shares of Cinemark by 11.5% during the fourth quarter. Teza Capital Management LLC now owns 11,695 shares of the company's stock worth $362,000 after purchasing an additional 1,206 shares during the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank boosted its holdings in shares of Cinemark by 7.9% during the first quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 30,177 shares of the company's stock worth $751,000 after purchasing an additional 2,199 shares during the last quarter.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on CNK. Wedbush upgraded Cinemark from a "neutral" rating to an "outperform" rating and raised their price objective for the stock from $32.00 to $37.00 in a report on Friday, July 11th. Roth Capital decreased their price objective on Cinemark from $36.00 to $34.00 and set a "buy" rating on the stock in a report on Monday, August 4th. Deutsche Bank Aktiengesellschaft assumed coverage on Cinemark in a report on Thursday, July 10th. They set a "buy" rating and a $36.00 price objective on the stock. Barrington Research reiterated an "outperform" rating and issued a $36.00 target price on shares of Cinemark in a report on Monday, August 4th. Finally, Benchmark reiterated a "buy" rating and issued a $35.00 target price on shares of Cinemark in a report on Wednesday, July 2nd. Ten research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $33.67.

Insider Activity

In related news, EVP Melissa Thomas sold 7,200 shares of the business's stock in a transaction dated Friday, August 15th. The stock was 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 directly owned 203,768 shares of the company's stock, valued at $5,128,840.56. The trade was a 3.41% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Wanda Marie Gierhart sold 52,524 shares of the company's stock in a transaction that occurred on Friday, June 13th. The shares were sold at an average price of $31.85, for a total value of $1,672,889.40. Following the transaction, the insider directly owned 94,890 shares of the company's stock, valued at $3,022,246.50. This trade represents a 35.63% decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.30% of the stock is owned by insiders.

Cinemark Stock Down 1.2%

Shares of NYSE CNK traded down $0.34 during midday trading on Tuesday, reaching $27.13. 1,265,158 shares of the company's stock were exchanged, compared to its average volume of 3,922,003. Cinemark Holdings Inc has a 52-week low of $23.12 and a 52-week high of $36.28. The stock has a market capitalization of $3.12 billion, a PE ratio of 14.82, a price-to-earnings-growth ratio of 1.85 and a beta of 1.85. The company has a debt-to-equity ratio of 4.32, a quick ratio of 0.88 and a current ratio of 0.91. The business's fifty day moving average price is $27.50 and its two-hundred day moving average price is $28.31.

Cinemark (NYSE:CNK - Get Free Report) last announced its earnings results on Friday, August 1st. The company reported $0.63 earnings per share (EPS) for the quarter, missing analysts' consensus estimates 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 analysts' expectations of $942.14 million. During the same period in the previous year, the firm posted $0.32 earnings per share. The firm's revenue was up 28.1% compared to the same quarter last year. Analysts forecast that Cinemark Holdings Inc will post 1.93 EPS for the current year.

Cinemark Announces Dividend

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

About Cinemark

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.