Cinemark (NYSE:CNK) Shares Gap Down After Earnings Miss

Cinemark Holdings, Inc. (NYSE:CNK - Get Free Report)'s share price gapped down prior to trading 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 changing hands.

The company reported $0.33 EPS for the quarter, missing the consensus estimate of $0.39 by ($0.06). The firm had revenue of $814.30 million for the quarter, compared to the consensus estimate of $797.18 million. Cinemark had a net margin of 10.16% and a return on equity of 65.83%. The business's revenue was up 27.5% on a year-over-year basis. During the same period last year, the company posted ($0.15) earnings per share.

Cinemark Dividend Announcement

The firm also recently disclosed a -- dividend, which will be paid on Wednesday, March 19th. Shareholders of record on Wednesday, March 5th will be issued a $0.08 dividend. The ex-dividend date of this dividend is Wednesday, March 5th. Cinemark's dividend payout ratio (DPR) is currently 15.76%.

Analyst Ratings Changes

A number of equities analysts recently commented on the company. Wedbush restated a "neutral" rating and set a $32.00 target price on shares of Cinemark in a report on Tuesday. Benchmark dropped their target price on shares of Cinemark from $40.00 to $35.00 and set a "buy" rating for the company in a research report on Thursday. JPMorgan Chase & Co. decreased their price target on shares of Cinemark from $31.00 to $30.00 and set a "neutral" rating for the company in a research note on Thursday. Wells Fargo & Company reduced their target price on Cinemark from $38.00 to $36.00 and set an "overweight" rating on the stock in a report on Wednesday, January 29th. Finally, Barrington Research restated an "outperform" rating and issued a $40.00 target price on shares of Cinemark in a research note on Wednesday. One investment 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. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $32.70.

Institutional Trading of Cinemark

Several institutional investors have recently added to or reduced their stakes in the business. Elequin Capital LP lifted its holdings in shares of Cinemark by 211.6% during the fourth quarter. Elequin Capital LP now owns 997 shares of the company's stock valued at $31,000 after purchasing an additional 677 shares in the last quarter. Russell Investments Group Ltd. raised its position in Cinemark by 402.4% in the 4th quarter. Russell Investments Group Ltd. now owns 1,030 shares of the company's stock worth $32,000 after buying an additional 825 shares during the last quarter. Quarry LP lifted its stake in Cinemark by 714.8% during the 3rd quarter. Quarry LP now owns 1,491 shares of the company's stock valued at $42,000 after acquiring an additional 1,308 shares during the period. Aster Capital Management DIFC Ltd boosted its holdings in shares of Cinemark by 380.0% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 1,896 shares of the company's stock valued at $59,000 after acquiring an additional 1,501 shares during the last quarter. Finally, R Squared Ltd bought a new stake in shares of Cinemark in the fourth quarter worth approximately $63,000.

Cinemark Price Performance

The company has a quick ratio of 0.96, a current ratio of 0.98 and a debt-to-equity ratio of 3.87. The firm's fifty day moving average price is $30.33 and its two-hundred day moving average price is $29.75. The stock has a market capitalization of $3.36 billion, a PE ratio of 13.53 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.