Cinemark (NYSE:CNK) Shares Gap Down Following Weak Earnings

Cinemark Holdings Inc (NYSE:CNK)’s stock price gapped down prior to trading on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $25.36, but opened at $23.91. Cinemark shares last traded at $26.57, with a volume of 1,838,966 shares trading hands.

The company reported $0.16 EPS for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.29). The firm had revenue of $776.30 million for the quarter, compared to analysts’ expectations of $778.41 million. Cinemark had a net margin of 4.44% and a return on equity of 34.11%. The company’s revenue was down 4.7% on a year-over-year basis. During the same period in the previous year, the company earned $0.33 EPS.

Cinemark Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 17th. Investors of record on Tuesday, March 3rd will be paid a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 1.4%. The ex-dividend date is Tuesday, March 3rd. Cinemark’s payout ratio is 34.62%.

Key Headlines Impacting Cinemark

Here are the key news stories impacting Cinemark this week:

• Positive Sentiment: Barrington Research reaffirmed an “outperform” rating and set a $32 price target (~21% upside vs. current price), which supports upside sentiment among growth/value analysts. Barrington Research Reaffirmation
• Positive Sentiment: Cinemark announced a quarterly cash dividend of $0.09 per share (record/ex-dividend Mar 3; pay Mar 17), implying a ~1.4% yield — a modest positive for income-focused holders and a sign of management’s willingness to return cash.
• Positive Sentiment: Management outlined a ~$250M 2026 capex plan targeting higher box office, expansion of premium formats, and upgrades — investment that could drive larger ticket sales and higher margins long term. Capex Plan Article
• Neutral Sentiment: CEO comments on the Warner/Netflix theatrical window debate signaled cautious optimism — exhibitors see some encouragement from Netflix statements but remain wary, leaving theatrical demand exposure uncertain. CEO Netflix Comments
• Neutral Sentiment: Full Q4 earnings call transcript and investor slide deck were published (useful for detail on box office mix, international trends, and format rollouts). Earnings Call Transcript
• Negative Sentiment: Q4 results missed expectations: EPS $0.16 vs. consensus ~$0.45 and revenue $776.3M (vs. ~$778.4M); revenue was down ~4.7% year‑over‑year. The earnings shortfall and declining top line are the primary near-term drivers of downward pressure on the stock. Company Press Release
• Negative Sentiment: Analyst coverage notes and screens (Zacks, MarketBeat) highlight that Q4 results lagged estimates and EPS fell versus prior year, which could pressure sentiment until guidance or box-office momentum improves. Zacks Q4 Coverage

Analysts Set New Price Targets

Several research firms have recently issued reports on CNK. Benchmark restated a “buy” rating on shares of Cinemark in a report on Thursday. Weiss Ratings reissued a “hold (c)” rating on shares of Cinemark in a research report on Monday, December 29th. Roth Mkm restated a “buy” rating and set a $36.00 price target on shares of Cinemark in a research note on Thursday. Wells Fargo & Company lowered their price objective on shares of Cinemark from $33.00 to $32.00 and set an “overweight” rating for the company in a research note on Wednesday, January 14th. Finally, Moffett Nathanson raised Cinemark from a “neutral” rating to a “buy” rating and set a $30.00 target price on the stock in a research report on Tuesday, January 20th. Ten investment analysts have rated the stock with a Buy rating, three have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $32.08.

Insider Buying and Selling

In other Cinemark news, EVP Melissa Thomas sold 7,944 shares of Cinemark stock in a transaction dated Wednesday, February 4th. The stock was sold at an average price of $26.05, for a total transaction of $206,941.20. Following the completion of the transaction, the executive vice president owned 159,416 shares in the company, valued at approximately $4,152,786.80. This trade represents a 4.75% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Insiders own 2.10% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of CNK. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Cinemark by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 65,699 shares of the company’s stock valued at $1,635,000 after purchasing an additional 2,872 shares during the period. Woodline Partners LP acquired a new position in shares of Cinemark in the first quarter worth about $570,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Cinemark by 8.0% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 345,258 shares of the company’s stock worth $8,593,000 after acquiring an additional 25,490 shares during the period. Acadian Asset Management LLC purchased a new stake in shares of Cinemark during the 1st quarter worth about $372,000. Finally, CWM LLC grew its position in shares of Cinemark by 29.2% during the 2nd quarter. CWM LLC now owns 8,458 shares of the company’s stock valued at $255,000 after acquiring an additional 1,910 shares during the period.

Cinemark Price Performance

The company has a current ratio of 0.76, a quick ratio of 0.72 and a debt-to-equity ratio of 4.53. The stock has a 50-day moving average price of $23.93 and a 200 day moving average price of $25.88. The stock has a market capitalization of $3.10 billion, a price-to-earnings ratio of 30.35, a PEG ratio of 2.61 and a beta of 1.13.

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.