Investors Purchase High Volume of Cinemark Put Options (NYSE:CNK)

Cinemark Holdings Inc (NYSE:CNK) saw unusually large options trading activity on Wednesday. Investors bought 6,195 put options on the stock. This is an increase of 130% compared to the average volume of 2,697 put options.

Wall Street Analysts Forecast Growth

CNK has been the subject of several recent research reports. Roth Capital reiterated a “buy” rating and issued a $35.00 price target on shares of Cinemark in a research note on Wednesday, November 5th. Morgan Stanley cut their target price on Cinemark from $35.00 to $34.00 and set an “overweight” rating for the company in a research report on Tuesday, October 21st. Barrington Research reissued an “outperform” rating and set a $36.00 target price on shares of Cinemark in a report on Tuesday, September 23rd. JPMorgan Chase & Co. dropped their price target on Cinemark from $38.00 to $37.00 and set an “overweight” rating for the company in a research note on Thursday, November 6th. Finally, Zacks Research raised shares of Cinemark from a “strong sell” rating to a “hold” rating in a research report on Friday, October 3rd. Nine equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Cinemark presently has a consensus rating of “Moderate Buy” and an average target price of $35.30.

Cinemark Price Performance

Shares of CNK traded down $1.61 during midday trading on Wednesday, hitting $23.65. The company’s stock had a trading volume of 2,480,010 shares, compared to its average volume of 3,790,036. The company has a quick ratio of 0.72, a current ratio of 0.76 and a debt-to-equity ratio of 5.01. Cinemark has a one year low of $23.12 and a one year high of $35.83. The stock has a market capitalization of $2.78 billion, a price-to-earnings ratio of 22.73, a price-to-earnings-growth ratio of 2.54 and a beta of 1.10. The company’s fifty day simple moving average is $27.69 and its two-hundred day simple moving average is $28.58.

Cinemark (NYSE:CNK) last released its quarterly earnings data on Wednesday, November 5th. The company reported $0.40 earnings per share for the quarter, missing the consensus estimate of $0.44 by ($0.04). Cinemark had a net margin of 4.93% and a return on equity of 34.33%. The business had revenue of $857.50 million during the quarter, compared to analyst estimates of $851.47 million. During the same period last year, the business earned $1.19 earnings per share. The business’s quarterly revenue was down 7.0% compared to the same quarter last year. As a group, equities analysts expect that Cinemark will post 1.93 earnings per share for the current fiscal year.

Cinemark Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, December 12th. Stockholders of record on Friday, November 28th will be paid a $0.09 dividend. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date is Friday, November 28th. This is an increase from Cinemark’s previous quarterly dividend of $0.08. Cinemark’s dividend payout ratio is 34.62%.

Hedge Funds Weigh In On Cinemark

A number of institutional investors have recently added to or reduced their stakes in CNK. Zurcher Kantonalbank Zurich Cantonalbank boosted its position in Cinemark by 7.9% in the first quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 30,177 shares of the company’s stock valued at $751,000 after buying an additional 2,199 shares in the last quarter. Nuveen LLC bought a new position in shares of Cinemark in the 1st quarter valued at $32,297,000. Independent Advisor Alliance acquired a new stake in shares of Cinemark during the 1st quarter valued at $1,532,000. Public Sector Pension Investment Board boosted its holdings in shares of Cinemark by 27.3% during the 1st quarter. Public Sector Pension Investment Board now owns 338,623 shares of the company’s stock valued at $8,428,000 after acquiring an additional 72,564 shares in the last quarter. Finally, Russell Investments Group Ltd. grew its position in Cinemark by 242.9% during the 1st quarter. Russell Investments Group Ltd. now owns 3,532 shares of the company’s stock worth $88,000 after acquiring an additional 2,502 shares during the last quarter.

About Cinemark

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.