Cinemark (NYSE:CNK) Cut to “Equal Weight” at Wells Fargo & Company

Wells Fargo & Company downgraded shares of Cinemark (NYSE:CNK) from an overweight rating to an equal weight rating in a research note issued to investors on Thursday morning, MarketBeat Ratings reports. Wells Fargo & Company currently has $31.00 target price on the stock, down from their prior target price of $36.00.

Several other research firms have also commented on CNK. Roth Capital reaffirmed a “buy” rating and set a $37.00 price target on shares of Cinemark in a research report on Thursday, April 23rd. The Goldman Sachs Group raised Cinemark from a “sell” rating to a “neutral” rating and increased their price objective for the company from $23.00 to $30.00 in a report on Wednesday, July 8th. JPMorgan Chase & Co. raised their target price on shares of Cinemark from $35.00 to $36.00 and gave the stock an “overweight” rating in a research report on Monday, May 4th. Benchmark lifted their target price on shares of Cinemark from $35.00 to $37.00 and gave the company a “buy” rating in a report on Wednesday, June 17th. Finally, Zacks Research downgraded shares of Cinemark from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, June 2nd. Seven analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $34.58.

Cinemark Price Performance

Shares of CNK opened at $30.42 on Thursday. The company has a debt-to-equity ratio of 5.03, a current ratio of 0.62 and a quick ratio of 0.58. Cinemark has a 1-year low of $21.60 and a 1-year high of $34.73. The stock has a market cap of $3.55 billion, a PE ratio of 26.92 and a beta of 0.98. The firm has a fifty day moving average price of $30.12 and a 200 day moving average price of $27.76.

Cinemark (NYSE:CNK) last issued its quarterly earnings data on Friday, May 1st. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.05) by ($0.01). Cinemark had a return on equity of 41.31% and a net margin of 5.31%.The firm had revenue of $643.10 million for the quarter, compared to analysts’ expectations of $632.74 million. During the same period in the previous year, the business posted ($0.32) EPS. The business’s revenue for the quarter was up 18.9% compared to the same quarter last year. As a group, sell-side analysts anticipate that Cinemark will post 2.18 EPS for the current year.

Cinemark Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 11th. Shareholders of record on Thursday, May 28th were given a dividend of $0.09 per share. This represents a $0.36 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date of this dividend was Thursday, May 28th. Cinemark’s dividend payout ratio (DPR) is presently 31.86%.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Lavaca Capital LLC purchased a new position in Cinemark during the 4th quarter worth $133,045,000. Orbis Allan Gray Ltd lifted its stake in shares of Cinemark by 31.0% in the 4th quarter. Orbis Allan Gray Ltd now owns 15,057,911 shares of the company’s stock worth $349,946,000 after acquiring an additional 3,563,810 shares during the period. Alyeska Investment Group L.P. purchased a new stake in shares of Cinemark in the fourth quarter valued at about $55,296,000. Victory Capital Management Inc. boosted its holdings in shares of Cinemark by 12,759.3% in the fourth quarter. Victory Capital Management Inc. now owns 2,026,245 shares of the company’s stock valued at $47,090,000 after acquiring an additional 2,010,488 shares in the last quarter. Finally, Woodline Partners LP acquired a new position in shares of Cinemark during the third quarter worth about $33,390,000.

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.