Zacks Research Downgrades Cinemark (NYSE:CNK) to Hold

Cinemark (NYSE:CNK) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued on Wednesday, Zacks reports.

Several other brokerages have also issued reports on CNK. B. Riley Financial raised their target price on Cinemark from $35.00 to $37.00 and gave the stock a “neutral” rating in a research report on Friday, July 31st. The Goldman Sachs Group upgraded shares of Cinemark from a “sell” rating to a “neutral” rating and boosted their price target for the stock from $23.00 to $30.00 in a research report on Wednesday, July 8th. Weiss Ratings upgraded shares of Cinemark from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, August 21st. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a $40.00 target price on shares of Cinemark in a report on Friday, July 31st. Finally, Moffett Nathanson restated a “buy” rating and set a $40.00 price target on shares of Cinemark in a report on Thursday, July 30th. Nine equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $37.93.

Cinemark Price Performance

NYSE:CNK opened at $34.98 on Wednesday. Cinemark has a 52 week low of $21.60 and a 52 week high of $38.98. The firm has a market cap of $4.05 billion, a price-to-earnings ratio of 20.70 and a beta of 0.98. The firm’s 50-day simple moving average is $34.25 and its 200 day simple moving average is $30.66. The company has a debt-to-equity ratio of 3.87, a quick ratio of 0.81 and a current ratio of 0.84.

Cinemark (NYSE:CNK) last posted its quarterly earnings data on Thursday, July 30th. The company reported $1.19 EPS for the quarter, topping analysts’ consensus estimates of $1.03 by $0.16. The firm had revenue of $1.09 billion for the quarter, compared to analyst estimates of $1.03 billion. Cinemark had a return on equity of 50.94% and a net margin of 6.44%.The company’s revenue was up 15.5% on a year-over-year basis. During the same quarter last year, the company earned $0.63 EPS. As a group, sell-side analysts predict that Cinemark will post 2.36 earnings per share for the current year.

Institutional Investors Weigh In On Cinemark

Institutional investors have recently added to or reduced their stakes in the company. Connor Clark & Lunn Investment Management Ltd. purchased a new position in Cinemark in the second quarter valued at approximately $22,657,000. State of New Jersey Common Pension Fund D purchased a new stake in Cinemark in the fourth quarter worth $1,661,000. UBS Group AG increased its position in Cinemark by 49.8% in the fourth quarter. UBS Group AG now owns 1,100,402 shares of the company’s stock worth $25,573,000 after buying an additional 365,630 shares during the last quarter. BlackRock Inc. bought a new stake in shares of Cinemark in the second quarter valued at $530,855,000. Finally, EP Wealth Advisors LLC bought a new stake in shares of Cinemark in the second quarter valued at $449,000.

About Cinemark

Cinemark Holdings, Inc (NYSE: CNK) is a leading theatrical exhibitor that acquires, develops and operates motion picture theatres under the Cinemark® brand in the United States and Latin America. The company’s core business involves the presentation of first-run feature films coupled with an array of in‐theatre services, including concessions, premium auditoriums and loyalty programs. Cinemark’s exhibition portfolio encompasses both corporate‐owned and franchised complexes, offering moviegoers a range of experiences from standard screens to large‐format halls.

The company’s product offerings extend beyond ticket sales to include an assortment of concession items, such as popcorn, fountain beverages, candy and specialty snacks, as well as bar and lounge concepts in select locations.