Cinemark Holdings Inc. (NYSE:CNK) Relative Strength Index (RSI) is 58.60, with weekly volatility at 5.84% and ATR at 1.23. The CNK stock’s 52-week price range has touched low of $5.71 and a $34.90 high. Intraday shares traded counted 7.34 million, which was 36.58% higher than its 30-day average trading volume of 11.58M. Its shares traded higher over the last trading session, gaining 6.83% on 12/23/20. The shares fell to a low of $15.60 before closing at $16.58. CNK’s previous close was $15.52 while the outstanding shares total 116.71M. The firm has a beta of 2.63.
Investors have identified the Entertainment company Cinemark Holdings Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $2.01 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Cinemark Holdings Inc. (CNK) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For CNK, the company has in raw cash 825.71 million on their books with 7.96 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 984.01 million total, with 623.88 million as their total liabilities.
CNK were able to record -235.27 million as free cash flow during the Q3 2020 quarter of the year, this saw their quarterly net cash flow reduce by 337.39 million. In cash movements, the company had a total of -167.65 million as operating cash flow.
Potential earnings growth for Cinemark Holdings Inc. (CNK)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the Q3 2020 quarter of the year, Cinemark Holdings Inc. recorded a total of 35.48 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -2216.41% coming in sequential stages and their sales for the Q3 2020 quarter increasing by 74.71%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 121.4 million trying to sell their products during the last quarter, with the result yielding a gross income of -85.93 million. This allows shareholders to hold on to 116.71M with the recently reported earning now reading -1.27 cents per share. This is a figure that compared to analyst’s prediction for their Q3 2020 (-1.25 cents a share).
Having a look at the company’s valuation, the company is expected to record -1.72 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on CNK sounds very interesting.
Is the stock of CNK attractive?
In related news, Pr – Cinemark International, Fernandes Valmir sold 15,000 shares of the company’s stock in a transaction that recorded on Dec 18. The sale was performed at an average price of 16.38, for a total value of 245,700. As the sale deal closes, the EVP-General Counsel, Cavalier Michael now sold 2,500 shares of the company’s stock, valued at 41,950. Also, Chief Executive Officer, Zoradi Mark sold 2,000 shares of the company’s stock in a deal that was recorded on Dec 11. The shares were price at an average price of 16.17 per share, with a total market value of 32,340. Following this completion of acquisition, the Director, Humrichouse Ximena G now holds 5,000 shares of the company’s stock, valued at 56,976. In the last 6 months, insiders have changed their ownership in shares of company stock by 1.00%.
5 out of 12 analysts covering the stock have rated it a Buy, while 7 have maintained a Hold recommendation on Cinemark Holdings Inc.. 0 analysts has assigned a Sell rating on the CNK stock. The 12-month mean consensus price target for the company’s shares has been set at $14.50.