Are Analysts Expecting A Better 2020 For Cinemark Holdings Inc. (CNK)?


    BlackRock Fund Advisors has recently announced that it has increased stake in Cinemark Holdings Inc. (NYSE:CNK) by 0.10%. After grabbing 11.1 million shares, the institutional investor is now in possession of 11492.0 shares of the Communication Services Company. The new investment brought the stake of investor firm to 9.44% having worth around $131.31 million. Moreover, Renaissance Technologies LLC increased its share by 3.43 million to have a control over 8.44 million shares. And Wellington Management Co. LLP raised its holdings to 0.65 million shares by acquiring 7.66 million shares or 6.51% of the stake.

    Cinemark Holdings Inc. (CNK) concluded trading on 08/27/20 at a closing price of $14.22, with 8.75 million shares of worth about $124.46 million changed hands on the day. Weekly performance of the stock remained positive as price took a surge of 14.68% during that period and on Thursday the price saw a gain of about 8.38%. Currently the company’s common shares owned by public are about 116.67M shares, out of which, 98.05M shares are available for trading.

    A deeper look into what the analysts at Wall Street are thinking about the price target of this stock provides us with the following: 12 analysts are covering the CNK stock and their offered price forecasts bring an average price target of $16.25. Over the next 12 months, analysts forecasted that the stock’s price could jump as high as $20.00 and could fall to a lowest price of $12.00. Analysts also issued an outlook of 2.30 for the Cinemark Holdings Inc. stock for next 12 months. The stock’s current price level is 12.49% above of average price target set by the analysts, while a rise to estimated low would result in loss of -18.5 for the stock. However, touching the estimated high of $20.00 would mean a gain of 28.9% for the stock.

    According to filings with the U.S. Securities and Exchange Commission (SEC), insiders took part in trade of the company’s stock for 35 times over the past 12 months. They bought 750,697 shares in 24 of the transactions. In 11 selling transactions, insiders dumped 90,587 shares.

    Vanguard Explorer Fund, Vanguard Total Stock Market Index, and iShares Core S&P Mid Cap ETF are the top 3 mutual funds which are holding stakes in Cinemark Holdings Inc. Vanguard Explorer Fund is currently holding 4.19 million shares of worth totaling $49.57 million. The company recently came selling -0.4 million shares which brought its stake up to 3.56% of the company’s outstanding shares. Vanguard Total Stock Market Index sold 2594.0 shares, after which its hold over company’s outstanding shares shrunk to 2.44%, leaving 2.87 million shares with the mutual fund that have a worth of about $33.92 million. iShares Core S&P Mid Cap ETF, after selling 2.85 million shares, have now control over 2.43% of the stake in the company. It holds 5463.0 shares of worth $33.77 million.

    Cinemark Holdings Inc. (NYSE: CNK) started trading at $13.19, above $0.07 from concluding price of the previous day. However, the stock finished the trading on the day at a closing price of $14.22, or with a gain of 8.38%. Stock saw a price change of 14.68% in past 5 days and over the past one month there was a price change of 23.76%. Year-to-date (YTD), CNK shares are showing a performance of -57.99% which decreased to -62.18% when we look at its performance for past 12 months. Over the period of past 52 weeks, stock dropped to lowest price of $5.71 but also hit the highest price of $39.81 during that period. While comparing its average daily trading volume of 5.85 million shares, we see that about 8.75 million changed hands on the day. The stock is currently trading 18.54% above its 20-day simple moving average (SMA20), while that difference is up 13.50% for SMA50 and it goes to -31.28% lower than SMA200.

    BlackRock Fund Advisors acquired 11.1 million shares of Cinemark Holdings Inc. having value of about $131.31 million. Data submitted at the U.S SEC by BlackRock Fund Advisors revealed that the firm now holds 11492.0 shares in the company valued at close to $163416.24, or have control over 0.10% stake in the company. Cinemark Holdings Inc. (NYSE: CNK) currently have 116.67M outstanding shares and institutions hold larger chunk of about 86.10% of that. Holding of mutual funds in the company is about 41.56% while other institutional holders and individual stake holders have control over 43.33% and 25.22% of the stake respectively.

    The stock has a current market capitalization of $1.68B and its 3Y-monthly beta is at 1.78. It has posted earnings per share of -$1.47 in the same period. It has Quick Ratio of 1.20 while making debt-to-equity ratio of 2.09. Volatility of a stock is a metric used to know how much the price of that stock is under influence and for CNK, volatility over the week remained 8.45% while standing at 8.42% over the month.

    Analysts are in expectations that Cinemark Holdings Inc. (CNK) stock would likely to be making an EPS of -$1.19 in the current quarter, while forecast for next quarter ESPS is -$0.64 and it is -$0.32 for next year. For the current quarter EPS, analysts have given the company a lowest target -$1.47 which is -$0.54 at the higher side of the target for the same. When we compare those targets with actual EPS, we find that company posted an EPS of $0.27 in the same quarter a year ago. Stock’s fiscal year EPS is expected to drop by -18.10% while it is estimated to increase by 91.60% in next year. EPS is likely to shrink at an annualized rate of -6.37% for next 5-years, compared to annual growth of -0.40% made by the stock over the past 5-years.

    Analysts at 12 brokerage firms have issued recommendations for the Cinemark Holdings Inc. (CNK)’s stock and average of those rates the stock at a “Moderate Buy” and assign it a score of 2.30. Out of those 12 Wall Street analysts, 6 recommended a “Buy” rating, while 6 were in favor recommending the stock as a “Hold” and 0 analyst recommended the stock as “Sell”.

    Digging deeper we find that several firms have released their research notes about the support levels of the stock. Most recent of them is a note released by The Benchmark Company on August 20, 2020 offering a Buy rating for the stock and assigned a target price of $18 to it. Coverage by Goldman stated Cinemark Holdings Inc. (CNK) stock as a Neutral in their note to investors on July 15, 2020, suggesting a price target of $12 for the stock. On June 29, 2020, Credit Suisse Downgrade their recommendations, while on May 18, 2020, B. Riley FBR Downgrade their ratings for the stock with a price target of $13. Stock get an Outperform rating from Macquarie on April 23, 2020.


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