Wellington Management Group LLP Boosts Stock Holdings in Cinemark Holdings Inc $CNK

Key Points

• Wellington Management Group LLP increased its stake in Cinemark Holdings Inc by 12.9%, owning over 9.34 million shares worth approximately $232.64 million.
• Cinemark recently announced a quarterly dividend of $0.08 per share, representing a 1.2% dividend yield with a payout ratio of 17.49%.
• Despite reporting a miss on earnings estimates for the last quarter, analysts are maintaining a largely positive outlook on the stock, with a consensus rating of "Moderate Buy".

Wellington Management Group LLP grew its position in shares of Cinemark Holdings Inc (NYSE:CNK - Free Report) by 12.9% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 9,346,856 shares of the company's stock after buying an additional 1,066,225 shares during the quarter. Wellington Management Group LLP owned 8.13% of Cinemark worth $232,643,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors have also recently made changes to their positions in the company. Algert Global LLC purchased a new stake in shares of Cinemark during the first quarter valued at approximately $1,034,000. Fox Run Management L.L.C. purchased a new position in shares of Cinemark during the first quarter valued at approximately $1,187,000. Russell Investments Group Ltd. raised its holdings in shares of 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 purchasing an additional 2,502 shares during the last quarter. Public Sector Pension Investment Board raised its holdings in shares of Cinemark by 27.3% during the first quarter. Public Sector Pension Investment Board now owns 338,623 shares of the company's stock valued at $8,428,000 after purchasing an additional 72,564 shares during the last quarter. Finally, Independent Advisor Alliance purchased a new position in shares of Cinemark during the first quarter valued at approximately $1,532,000.

Insider Activity

In other news, insider Wanda Marie Gierhart sold 52,524 shares of the business's stock in a transaction dated Friday, June 13th. The stock was 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 in the company, valued at $3,022,246.50. The trade was a 35.63% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, 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 completion of the transaction, the executive vice president owned 203,768 shares in the company, valued at $5,128,840.56. The trade was a 3.41% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 84,724 shares of company stock worth $2,679,363 over the last ninety days. Corporate insiders own 2.30% of the company's stock.

Wall Street Analysts Forecast Growth

CNK has been the subject of several research reports. Roth Capital decreased their price objective on shares of Cinemark from $36.00 to $34.00 and set a "buy" rating for the company in a report on Monday, August 4th. Deutsche Bank Aktiengesellschaft initiated coverage on shares of Cinemark in a report on Thursday, July 10th. They set a "buy" rating and a $36.00 price objective for the company. Benchmark reissued a "buy" rating and set a $35.00 price objective on shares of Cinemark in a report on Wednesday, July 2nd. Wedbush raised shares of Cinemark from a "neutral" rating to an "outperform" rating and upped their price target for the company from $32.00 to $37.00 in a research report on Friday, July 11th. Finally, Wells Fargo & Company reaffirmed an "overweight" rating and set a $33.00 price target (down previously from $36.00) on shares of Cinemark in a research report on Monday, August 4th. Ten analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $33.67.

Cinemark Stock Up 1.4%

CNK stock opened at $26.4630 on Wednesday. Cinemark Holdings Inc has a twelve month low of $23.12 and a twelve month high of $36.28. The company has a quick ratio of 0.88, a current ratio of 0.91 and a debt-to-equity ratio of 4.32. The stock has a market cap of $3.04 billion, a P/E ratio of 14.46, a PEG ratio of 1.87 and a beta of 1.90. The business's 50-day moving average price is $29.01 and its 200-day moving average price is $28.78.

Cinemark (NYSE:CNK - Get Free Report) last posted its quarterly earnings data on Friday, August 1st. The company reported $0.63 earnings per share for the quarter, missing analysts' consensus estimates of $0.78 by ($0.15). Cinemark had a net margin of 9.13% and a return on equity of 59.16%. The company 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 earned $0.32 earnings per share. The firm's quarterly revenue was up 28.1% on a year-over-year basis. On average, equities research analysts forecast that Cinemark Holdings Inc will post 1.93 EPS for the current year.

Cinemark Announces Dividend

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

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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