Cinemark (NYSE:CNK) Shares Gap Down Following Weak Earnings

Shares of Cinemark Holdings, Inc. (NYSE:CNK) gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $33.06, but opened at $31.20. Cinemark shares last traded at $28.08, with a volume of 1,764,428 shares.

The company reported $0.33 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.06). Cinemark had a return on equity of 60.21% and a net margin of 8.36%.

Analyst Upgrades and Downgrades

CNK has been the subject of a number of research reports. Wells Fargo & Company lowered their target price on Cinemark from $38.00 to $36.00 and set an “overweight” rating for the company in a research note on Wednesday, January 29th. StockNews.com raised Cinemark from a “sell” rating to a “hold” rating in a research report on Sunday, November 10th. Benchmark reissued a “buy” rating and issued a $40.00 price objective on shares of Cinemark in a report on Friday, January 10th. Barrington Research upgraded shares of Cinemark from a “market perform” rating to an “outperform” rating and set a $36.00 target price on the stock in a report on Thursday, October 31st. Finally, JPMorgan Chase & Co. increased their price target on shares of Cinemark from $29.00 to $31.00 and gave the company a “neutral” rating in a research note on Thursday, January 30th. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating, six have given a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, Cinemark has an average rating of “Moderate Buy” and an average price target of $32.80.

Institutional Trading of Cinemark

A number of institutional investors have recently modified their holdings of the company. LPL Financial LLC boosted its stake in Cinemark by 6.8% in the 4th quarter. LPL Financial LLC now owns 8,722 shares of the company’s stock worth $270,000 after purchasing an additional 556 shares in the last quarter. QRG Capital Management Inc. lifted its position in shares of Cinemark by 3.2% in the fourth quarter. QRG Capital Management Inc. now owns 17,730 shares of the company’s stock valued at $549,000 after acquiring an additional 557 shares in the last quarter. Natixis Advisors LLC boosted its stake in Cinemark by 2.9% in the 3rd quarter. Natixis Advisors LLC now owns 20,638 shares of the company’s stock worth $575,000 after purchasing an additional 583 shares during the period. Mercer Global Advisors Inc. ADV grew its stake in 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. Finally, Summit Investment Advisors Inc. lifted its position in shares of Cinemark by 5.7% in the fourth quarter. Summit Investment Advisors Inc. now owns 11,546 shares of the company’s stock worth $358,000 after buying an additional 618 shares in the last quarter.

Cinemark Stock Down 14.8 %

The company has a debt-to-equity ratio of 3.46, a current ratio of 0.98 and a quick ratio of 0.96. The company’s 50-day simple moving average is $30.54 and its 200 day simple moving average is $29.72. The firm has a market cap of $3.44 billion, a P/E ratio of 18.23 and a beta of 2.38.

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.