Park West Asset Management LLC Reduces Position in Cinemark Holdings Inc $CNK

Key Points

• Park West Asset Management LLC reduced its stake in Cinemark Holdings Inc by 1.3%, now owning approximately 1.1 million shares worth about $27.5 million.
• Insider Wanda Marie Gierhart sold 52,524 shares at an average price of $31.85, decreasing her position by 35.63% to around 94,890 shares valued at over $3 million.
• Cinemark announced a quarterly dividend of $0.08 per share, with a payout ratio of 17.49%, scheduled to be paid on September 10th.

Park West Asset Management LLC lowered its stake in shares of Cinemark Holdings Inc (NYSE:CNK - Free Report) by 1.3% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,104,682 shares of the company's stock after selling 14,742 shares during the period. Cinemark makes up 2.2% of Park West Asset Management LLC's investment portfolio, making the stock its 19th biggest holding. Park West Asset Management LLC owned about 0.96% of Cinemark worth $27,496,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Northern Trust Corp raised its stake in Cinemark by 14.2% during the 4th quarter. Northern Trust Corp now owns 1,272,312 shares of the company's stock worth $39,416,000 after buying an additional 158,130 shares during the period. Mercer Global Advisors Inc. ADV increased its holdings in shares of Cinemark by 3.8% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 16,270 shares of the company's stock valued at $504,000 after acquiring an additional 591 shares in the last quarter. Brevan Howard Capital Management LP acquired a new position in shares of Cinemark during the fourth quarter worth approximately $308,000. Deutsche Bank AG lifted its holdings in shares of Cinemark by 52.1% in the 4th quarter. Deutsche Bank AG now owns 98,516 shares of the company's stock worth $3,052,000 after purchasing an additional 33,758 shares in the last quarter. Finally, Graham Capital Management L.P. acquired a new stake in Cinemark in the 4th quarter valued at $1,965,000.

Insiders Place Their Bets

In related news, EVP Melissa Thomas sold 7,200 shares of the business's 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 transaction, the executive vice president directly owned 203,768 shares of the company's stock, valued at approximately $5,128,840.56. The trade was a 3.41% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Wanda Marie Gierhart sold 52,524 shares of the stock in a transaction dated Friday, June 13th. The shares were sold at an average price of $31.85, for a total transaction of $1,672,889.40. Following the transaction, the insider owned 94,890 shares of the company's stock, valued at approximately $3,022,246.50. The trade was a 35.63% decrease in their position. The disclosure for this sale can be found here. Insiders own 2.30% of the company's stock.

Cinemark Stock Performance

Shares of Cinemark stock traded down $0.40 during mid-day trading on Tuesday, hitting $27.06. 4,115,366 shares of the stock were exchanged, compared to its average volume of 3,906,597. Cinemark Holdings Inc has a 12 month low of $23.12 and a 12 month high of $36.28. The company has a 50-day simple moving average of $27.43 and a 200 day simple moving average of $28.30. The company has a market capitalization of $3.11 billion, a P/E ratio of 14.79, a P/E/G ratio of 1.96 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.

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

Cinemark Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 10th. Stockholders of record on Wednesday, August 27th will be given a dividend of $0.08 per share. The ex-dividend date of this dividend is Wednesday, August 27th. This represents a $0.32 annualized dividend and a dividend yield of 1.2%. Cinemark's dividend payout ratio (DPR) is currently 17.49%.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on CNK. Deutsche Bank Aktiengesellschaft started coverage on shares of Cinemark in a research note on Thursday, July 10th. They issued a "buy" rating and a $36.00 price objective on the stock. Wells Fargo & Company reaffirmed an "overweight" rating and issued a $33.00 price target (down previously from $36.00) on shares of Cinemark in a research report on Monday, August 4th. Wedbush upgraded Cinemark from a "neutral" rating to an "outperform" rating and lifted their price target for the company from $32.00 to $37.00 in a research note on Friday, July 11th. Benchmark reissued a "buy" rating and set a $35.00 price objective on shares of Cinemark in a report on Wednesday, July 2nd. Finally, Wall Street Zen upgraded Cinemark from a "sell" rating to a "hold" rating in a report on Sunday, August 10th. Ten research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $33.67.

Cinemark 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.