Cinemark Sees Unusually High Options Volume (NYSE:CNK)

Cinemark Holdings Inc (NYSE:CNK) was the recipient of unusually large options trading activity on Monday. Stock investors purchased 12,446 call options on the stock. This is an increase of approximately 471% compared to the typical volume of 2,180 call options.

Institutional Trading of Cinemark

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC grew its position in Cinemark by 118.5% during the second quarter. EverSource Wealth Advisors LLC now owns 935 shares of the company’s stock valued at $28,000 after buying an additional 507 shares during the period. Smartleaf Asset Management LLC grew its position in Cinemark by 20.1% during the third quarter. Smartleaf Asset Management LLC now owns 3,027 shares of the company’s stock valued at $83,000 after buying an additional 506 shares during the period. Leonteq Securities AG acquired a new stake in Cinemark during the fourth quarter valued at $83,000. GAMMA Investing LLC grew its position in Cinemark by 51.8% during the fourth quarter. GAMMA Investing LLC now owns 4,022 shares of the company’s stock valued at $93,000 after buying an additional 1,372 shares during the period. Finally, Kestra Advisory Services LLC acquired a new stake in Cinemark during the fourth quarter valued at $102,000.

Cinemark Stock Performance

CNK stock traded up $0.86 during midday trading on Monday, hitting $26.82. 1,569,414 shares of the stock traded hands, compared to its average volume of 2,374,924. The firm has a market cap of $3.13 billion, a P/E ratio of 23.73 and a beta of 1.03. The company has a debt-to-equity ratio of 5.03, a current ratio of 0.62 and a quick ratio of 0.58. The stock’s fifty day simple moving average is $28.14 and its 200-day simple moving average is $26.42. Cinemark has a 1-year low of $21.60 and a 1-year high of $34.01.

Cinemark (NYSE:CNK) last released its quarterly earnings results on Friday, May 1st. The company reported ($0.06) EPS for the quarter, missing the consensus estimate of ($0.05) by ($0.01). The firm had revenue of $643.10 million for the quarter, compared to analyst estimates of $632.74 million. Cinemark had a net margin of 5.31% and a return on equity of 41.31%. The firm’s quarterly revenue was up 18.9% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.32) EPS. On average, analysts expect that Cinemark will post 2.11 earnings per share for the current year.

Cinemark Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Investors of record on Thursday, May 28th will be given a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 1.3%. The ex-dividend date is Thursday, May 28th. Cinemark’s dividend payout ratio (DPR) is currently 31.86%.

Analyst Ratings Changes

Several research analysts recently issued reports on the stock. The Goldman Sachs Group reissued a “sell” rating and set a $22.00 target price on shares of Cinemark in a report on Thursday, February 19th. Benchmark reissued a “buy” rating on shares of Cinemark in a report on Thursday, February 19th. Zacks Research raised shares of Cinemark from a “hold” rating to a “strong-buy” rating in a report on Monday, May 4th. Morgan Stanley raised their target price on shares of Cinemark from $28.00 to $30.00 and gave the stock an “equal weight” rating in a report on Thursday, April 30th. Finally, UBS Group raised shares of Cinemark to a “buy” rating in a report on Tuesday, January 20th. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $33.31.

Cinemark Company Profile

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.