Cinemark (NYSE:CNK) Announces Quarterly Earnings Results, Misses Expectations By $0.04 EPS

Cinemark (NYSE:CNK) released its quarterly earnings results on Wednesday. The company reported $0.40 earnings per share for the quarter, missing the consensus estimate of $0.44 by ($0.04), Zacks reports. Cinemark had a net margin of 9.13% and a return on equity of 59.16%. The company had revenue of $857.50 million for the quarter, compared to analysts’ expectations of $851.47 million. During the same quarter in the previous year, the company posted $1.19 EPS. The business’s quarterly revenue was down 7.0% on a year-over-year basis.

Cinemark Trading Up 7.7%

Cinemark stock traded up $2.07 during mid-day trading on Wednesday, hitting $28.82. The company’s stock had a trading volume of 5,640,727 shares, compared to its average volume of 3,859,150. The company has a 50 day moving average of $27.01 and a 200-day moving average of $28.79. The stock has a market cap of $3.32 billion, a PE ratio of 15.75, a P/E/G ratio of 1.96 and a beta of 1.69. 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 has a one year low of $23.12 and a one year high of $36.28.

Cinemark Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 10th. Shareholders of record on Wednesday, August 27th were given a $0.08 dividend. This represents a $0.32 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend was Wednesday, August 27th. Cinemark’s dividend payout ratio is 17.49%.

Analyst Ratings Changes

Several analysts recently weighed in on the company. Weiss Ratings restated a “hold (c+)” rating on shares of Cinemark in a report on Wednesday, October 8th. Wall Street Zen upgraded Cinemark from a “sell” rating to a “hold” rating in a report on Sunday, August 10th. Morgan Stanley decreased their price target on Cinemark from $35.00 to $34.00 and set an “overweight” rating on the stock in a report on Tuesday, October 21st. Roth Capital decreased their price target on Cinemark from $36.00 to $34.00 and set a “buy” rating on the stock in a report on Monday, August 4th. Finally, Wells Fargo & Company restated an “overweight” rating and set a $33.00 price target (down previously from $36.00) on shares of Cinemark in a report on Monday, August 4th. Nine investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, Cinemark presently has an average rating of “Moderate Buy” and an average target price of $35.30.

Insider Buying and Selling

In other news, EVP Melissa Thomas sold 7,200 shares of the stock in a transaction on Friday, August 15th. The stock was sold at an average price of $25.17, for a total transaction of $181,224.00. Following the transaction, the executive vice president owned 203,768 shares of the company’s stock, valued at approximately $5,128,840.56. This represents a 3.41% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 2.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Cinemark

A number of hedge funds and other institutional investors have recently made changes to their positions in CNK. Man Group plc bought a new position in shares of Cinemark during the 2nd quarter worth $33,953,000. Balyasny Asset Management L.P. bought a new position in shares of Cinemark during the 2nd quarter worth $27,373,000. Engineers Gate Manager LP bought a new position in shares of Cinemark during the 2nd quarter worth $9,663,000. Ameriprise Financial Inc. grew its position in shares of Cinemark by 109.4% during the 2nd quarter. Ameriprise Financial Inc. now owns 512,204 shares of the company’s stock worth $15,458,000 after buying an additional 267,580 shares in the last quarter. Finally, Brevan Howard Capital Management LP grew its position in shares of Cinemark by 728.1% during the 2nd quarter. Brevan Howard Capital Management LP now owns 213,440 shares of the company’s stock worth $6,442,000 after buying an additional 187,665 shares in the last quarter.

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.