Cinemark (NYSE:CNK) Trading Down 3% – Here’s What Happened

Cinemark Holdings, Inc. (NYSE:CNK) traded down 3% during mid-day trading on Monday . The stock traded as low as $31.43 and last traded at $31.18. 268,477 shares were traded during mid-day trading, a decline of 91% from the average session volume of 3,070,982 shares. The stock had previously closed at $32.14.

Analysts Set New Price Targets

CNK has been the topic of a number of research reports. B. Riley started coverage on shares of Cinemark in a research report on Friday, May 16th. They set a “neutral” rating and a $35.00 target price on the stock. Benchmark cut their price objective on shares of Cinemark from $40.00 to $35.00 and set a “buy” rating on the stock in a report on Thursday, February 20th. JPMorgan Chase & Co. lifted their price target on shares of Cinemark from $34.00 to $35.00 and gave the stock an “overweight” rating in a report on Monday, May 5th. Morgan Stanley cut their price target on shares of Cinemark from $40.00 to $35.00 and set an “overweight” rating on the stock in a report on Thursday, February 20th. Finally, Macquarie reissued an “outperform” rating and set a $35.00 price objective on shares of Cinemark in a report on Thursday, February 20th. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating, seven have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $33.20.

Cinemark Stock Down 1.5%

The stock has a market capitalization of $3.64 billion, a PE ratio of 15.59 and a beta of 1.93. The firm’s fifty day moving average is $30.53 and its 200-day moving average is $29.50. The company has a quick ratio of 0.96, a current ratio of 1.01 and a debt-to-equity ratio of 3.28.

Cinemark (NYSE:CNK) last issued its earnings results on Friday, May 2nd. The company reported ($0.32) earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of ($0.32). Cinemark had a net margin of 10.16% and a return on equity of 65.83%. The company had revenue of $540.70 million during the quarter, compared to analysts’ expectations of $604.62 million. During the same period last year, the company posted $0.19 earnings per share. The firm’s quarterly revenue was down 6.6% compared to the same quarter last year. On average, equities research analysts predict that Cinemark Holdings, Inc. will post 1.93 earnings per share for the current year.

Cinemark Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, June 12th. Stockholders of record on Thursday, May 29th were paid a $0.08 dividend. This represents a $0.32 dividend on an annualized basis and a dividend yield of 1.01%. The ex-dividend date was Thursday, May 29th. Cinemark’s dividend payout ratio is presently 21.05%.

Insider Activity

In related news, EVP Melissa Thomas sold 7,200 shares of Cinemark stock in a transaction dated Thursday, May 15th. The stock was sold at an average price of $31.43, for a total value of $226,296.00. Following the completion of the transaction, the executive vice president now directly owns 210,968 shares in the company, valued at approximately $6,630,724.24. This trade represents a 3.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Valmir Fernandes sold 25,000 shares of Cinemark stock in a transaction that occurred on Tuesday, May 27th. The shares were sold at an average price of $33.01, for a total value of $825,250.00. Following the completion of the transaction, the insider now owns 130,612 shares of the company’s stock, valued at approximately $4,311,502.12. The trade was a 16.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Elequin Capital LP raised its stake in Cinemark by 211.6% during the 4th quarter. Elequin Capital LP now owns 997 shares of the company’s stock valued at $31,000 after purchasing an additional 677 shares during the period. Russell Investments Group Ltd. grew its holdings in shares of Cinemark by 402.4% during the 4th quarter. Russell Investments Group Ltd. now owns 1,030 shares of the company’s stock valued at $32,000 after acquiring an additional 825 shares in the last quarter. Aster Capital Management DIFC Ltd raised its holdings in shares of Cinemark by 380.0% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 1,896 shares of the company’s stock worth $59,000 after acquiring an additional 1,501 shares in the last quarter. Quarry LP boosted its position in Cinemark by 41.8% during the fourth quarter. Quarry LP now owns 2,114 shares of the company’s stock valued at $65,000 after purchasing an additional 623 shares during the last quarter. Finally, Smartleaf Asset Management LLC increased its position in Cinemark by 198.3% in the 4th quarter. Smartleaf Asset Management LLC now owns 3,320 shares of the company’s stock worth $103,000 after purchasing an additional 2,207 shares during 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.