Morgan Stanley analyst Benjamin Swinburne has reiterated their bullish stance on CNK stock, giving a Buy rating on July 16.
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Benjamin Swinburne’s rating is based on several factors that suggest a positive outlook for Cinemark Holdings. Firstly, he anticipates a recovery in the theatrical business in the United States, which is not yet reflected in the company’s stock price. Swinburne holds an optimistic view for 2026, expecting higher adjusted EBITDA and free cash flow than the consensus, driven by a more favorable box office performance.
Additionally, Swinburne foresees Cinemark enhancing shareholder value through share buybacks and increased dividends as the company redeems its pandemic-era convertible notes. The analyst also highlights the potential for free cash flow growth from bonus depreciation. Overall, Swinburne sees the stock trading at attractive valuation multiples, with positive revisions and returns anticipated, justifying his Buy rating.
In another report released on July 16, Barrington also maintained a Buy rating on the stock with a $36.00 price target.