FY2025 Earnings Forecast for Cinemark Issued By Roth Capital

Key Points

• Roth Capital has lowered its FY2025 earnings estimate for Cinemark from $1.28 to $1.11 per share, while maintaining a "Buy" rating and a target price of $34.00 for the stock.
• Cinemark's recent earnings report revealed $0.63 earnings per share for the quarter, missing expectations, and showing a 28.1% year-over-year revenue increase but falling short of the revenue estimate.
• Insiders of Cinemark recently sold over 84,724 shares of the company stock valued at approximately $2.72 million in the last three months, indicating significant insider selling activity.

Cinemark Holdings Inc (NYSE:CNK - Free Report) - Analysts at Roth Capital lowered their FY2025 earnings per share estimates for shares of Cinemark in a research report issued to clients and investors on Monday, August 4th. Roth Capital analyst E. Handler now forecasts that the company will post earnings per share of $1.11 for the year, down from their previous estimate of $1.28. Roth Capital has a "Buy" rating and a $34.00 price target on the stock. The consensus estimate for Cinemark's current full-year earnings is $1.93 per share. Roth Capital also issued estimates for Cinemark's Q4 2025 earnings at $0.45 EPS and FY2026 earnings at $1.42 EPS.

Cinemark (NYSE:CNK - Get Free Report) last released 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). The firm had revenue of $940.50 million for the quarter, compared to the consensus estimate of $942.14 million. Cinemark had a return on equity of 59.16% and a net margin of 9.13%. Cinemark's revenue for the quarter was up 28.1% on a year-over-year basis. During the same quarter last year, the company posted $0.32 EPS.

Other equities research analysts have also recently issued reports about the stock. Wedbush raised shares of Cinemark from a "neutral" rating to an "outperform" rating and boosted their price target for the stock from $32.00 to $37.00 in a research report on Friday, July 11th. Deutsche Bank Aktiengesellschaft assumed coverage on Cinemark in a research report on Thursday, July 10th. They set a "buy" rating and a $36.00 price target on the stock. JPMorgan Chase & Co. raised their target price on shares of Cinemark from $34.00 to $35.00 and gave the company an "overweight" rating in a research note on Monday, May 5th. Benchmark reissued a "buy" rating and issued a $35.00 price objective on shares of Cinemark in a research report on Wednesday, July 2nd. Finally, Wells Fargo & Company reaffirmed an "overweight" rating and issued a $33.00 price objective (down from $36.00) on shares of Cinemark in a research report on Monday. Two equities research analysts have rated the stock with a sell rating, one has given a hold rating and ten have given a buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $33.67.

Cinemark Stock Up 0.3%

Shares of CNK traded up $0.07 during mid-day trading on Tuesday, hitting $24.99. 3,799,934 shares of the company's stock were exchanged, compared to its average volume of 4,266,977. The company has a 50-day simple moving average of $30.05 and a 200 day simple moving average of $28.96. The company has a debt-to-equity ratio of 4.32, a current ratio of 0.91 and a quick ratio of 0.76. The company has a market cap of $2.87 billion, a PE ratio of 13.65, a P/E/G ratio of 2.37 and a beta of 1.90. Cinemark has a 52 week low of $23.12 and a 52 week high of $36.28.

Cinemark Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 12th. Shareholders of record on Thursday, May 29th were issued a dividend of $0.08 per share. This represents a $0.32 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date was Thursday, May 29th. Cinemark's dividend payout ratio is presently 17.49%.

Insiders Place Their Bets

In other Cinemark news, insider Wanda Marie Gierhart sold 52,524 shares of the stock in a transaction that occurred on 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 owned 94,890 shares in the company, valued at approximately $3,022,246.50. This represents 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 accessible through this hyperlink. Also, EVP Melissa Thomas sold 7,200 shares of the company's stock in a transaction dated Thursday, May 15th. The stock was sold at an average price of $31.43, for a total transaction of $226,296.00. Following the completion of the sale, the executive vice president owned 210,968 shares in the company, valued at $6,630,724.24. This represents a 3.30% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 84,724 shares of company stock worth $2,724,435. Corporate insiders own 2.10% of the company's stock.

Institutional Investors Weigh In On Cinemark

A number of hedge funds have recently made changes to their positions in the business. Principal Financial Group Inc. lifted its holdings in shares of Cinemark by 2.8% in the first quarter. Principal Financial Group Inc. now owns 681,435 shares of the company's stock worth $16,961,000 after buying an additional 18,645 shares in the last quarter. GHP Investment Advisors Inc. raised its position in shares of Cinemark by 104.8% in the first quarter. GHP Investment Advisors Inc. now owns 28,365 shares of the company's stock worth $706,000 after buying an additional 14,518 shares in the last quarter. Franklin Resources Inc. increased its stake in Cinemark by 25.0% in the 4th quarter. Franklin Resources Inc. now owns 70,964 shares of the company's stock worth $2,198,000 after acquiring an additional 14,207 shares during the last quarter. GAMMA Investing LLC raised its holdings in shares of Cinemark by 1,677.9% in the 1st quarter. GAMMA Investing LLC now owns 52,020 shares of the company's stock valued at $1,295,000 after acquiring an additional 49,094 shares in the last quarter. Finally, Cerity Partners LLC purchased a new position in shares of Cinemark during the first quarter worth about $2,081,000.

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.