Cinemark (NYSE:CNK) Sets New 52-Week High – Should You Buy?

Cinemark Holdings Inc (NYSE:CNK)’s share price hit a new 52-week high during mid-day trading on Thursday. The stock traded as high as $39.09 and last traded at $38.6510, with a volume of 224,680 shares. The stock had previously closed at $38.20.

Analysts Set New Price Targets

CNK has been the subject of several research analyst reports. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and set a $40.00 target price on shares of Cinemark in a research note on Friday, July 31st. Guggenheim set a $37.00 price target on shares of Cinemark in a research report on Thursday, July 2nd. Barrington Research set a $42.00 price objective on shares of Cinemark in a report on Thursday, July 30th. Moffett Nathanson reaffirmed a “buy” rating and set a $40.00 price objective on shares of Cinemark in a research report on Thursday, July 30th. Finally, B. Riley Financial upped their price objective on shares of Cinemark from $35.00 to $37.00 and gave the company a “neutral” rating in a research report on Friday, July 31st. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $37.93.

Cinemark Stock Performance

The firm has a market capitalization of $4.46 billion, a P/E ratio of 22.79 and a beta of 1.03. The company has a quick ratio of 0.81, a current ratio of 0.84 and a debt-to-equity ratio of 3.87. The business has a 50-day moving average price of $36.42 and a 200-day moving average price of $32.65.

Cinemark (NYSE:CNK) last issued its earnings results on Thursday, July 30th. The company reported $1.19 EPS for the quarter, beating analysts’ consensus estimates of $1.03 by $0.16. Cinemark had a return on equity of 50.94% and a net margin of 6.44%. The business had revenue of $1.09 billion during the quarter, compared to analyst estimates of $1.03 billion. During the same period in the prior year, the company posted $0.63 earnings per share. Cinemark’s revenue was up 15.5% on a year-over-year basis. Analysts anticipate that Cinemark Holdings Inc will post 2.53 earnings per share for the current year.

Cinemark Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, September 9th. Shareholders of record on Wednesday, August 26th were issued a $0.09 dividend. This represents a $0.36 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend was Wednesday, August 26th. Cinemark’s payout ratio is 21.30%.

Hedge Funds Weigh In On Cinemark

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. GAMMA Investing LLC grew its stake in Cinemark by 7.8% in the third quarter. GAMMA Investing LLC now owns 5,371 shares of the company’s stock valued at $200,000 after purchasing an additional 389 shares in the last quarter. Gabelli Funds LLC increased its position in shares of Cinemark by 0.5% during the 1st quarter. Gabelli Funds LLC now owns 101,866 shares of the company’s stock worth $2,905,000 after purchasing an additional 490 shares during the last quarter. PNC Financial Services Group Inc. increased its position in shares of Cinemark by 14.3% during the 1st quarter. PNC Financial Services Group Inc. now owns 7,613 shares of the company’s stock worth $217,000 after purchasing an additional 951 shares during the last quarter. TD Waterhouse Canada Inc. bought a new stake in shares of Cinemark during the 3rd quarter worth approximately $36,000. Finally, Public Employees Retirement System of Ohio bought a new stake in shares of Cinemark during the 2nd quarter worth approximately $32,000.

About Cinemark

Cinemark Holdings, Inc is a motion picture exhibition company that operates movie theaters in the United States and Latin America. Through its Cinemark and other regional theater brands, the company shows first-run films and provides audiences with large-format entertainment experiences.

Cinemark’s services include movie ticketing, food and beverage concessions, premium seating, and enhanced presentation formats such as its XD auditoriums. The company also offers customer loyalty programs, advertising opportunities, private theater rentals, and other event-based entertainment services.

Founded in 1987 by Lee Roy Mitchell, Cinemark is headquartered in Plano, Texas.