Cinemark Holdings (CNK) AI Stock Analysis

• Market Cap: $2.94B
• Dividend Yield: 1.34%
• Average Volume (3M): 3.94M
• Price to Earnings (P/E): 24.4
• Beta (1Y): 0.42
• Revenue Growth: 9.70%
• EPS Growth: -31.62%
• Country: US
• Employees: 9,252
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 0.40
• Shares Outstanding: 117,475,900
• 10 Day Avg. Volume: 5,893,467
• 30 Day Avg. Volume: 3,944,912
• PEG Ratio: 0.25
• Price to Book (P/B): 6.25
• Price to Sales (P/S): 1.22
• P/FCF Ratio: 11.78
• Enterprise Value/Market Cap: 2.08
• Enterprise Value/Revenue: 1.94
• Enterprise Value/Gross Profit: 3.71
• Enterprise Value/Ebitda: 11.31
• 1Y Price Target: $35.20
• Price Target Upside: 42.80% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 1.38
• Revenue Forecast (FY): $3.22B

• Rating: 58 Neutral
• Price Target: $24.50 ▼(-0.61% Downside)

Cinemark Holdings' overall stock score reflects a mixed outlook. The most significant factor is the company's financial performance, which shows profitability but faces challenges with revenue growth and high leverage. Technical analysis indicates bearish momentum, while valuation concerns arise from a high P/E ratio. The earnings call provides a positive outlook with strategic initiatives and strong financial results, partially offsetting other concerns.

Positive Factors

Debt Extinguishment

Eliminating pandemic-related debt strengthens Cinemark's balance sheet, reducing financial risk and increasing flexibility for future investments.

Market Share Growth

Sustained market share growth indicates competitive strength and effective strategic positioning, enhancing long-term revenue potential.

Strategic Initiatives

The share repurchase program and dividend increase reflect confidence in financial health and commitment to returning value to shareholders.

Negative Factors

High Leverage

High leverage poses risks to financial stability, potentially limiting the company's ability to invest in growth opportunities or weather economic downturns.

Declining Revenue Growth

Declining revenue growth can signal challenges in maintaining market relevance and could impact future profitability and cash flow generation.

Decreased Attendance

Decreased attendance reflects challenges in attracting audiences, which could impact revenue from ticket sales and concessions, affecting overall financial performance.

Cinemark Holdings Business Overview & Revenue Model

Company Description

Cinemark Holdings, Inc., together with its subsidiaries, engages in the motion picture exhibition business. As of June 30, 2022, it operated 522 theatres with 5,868 screens in the United States, and South and Central America. The company was founded in 1984 and is headquartered in Plano, Texas.

How the Company Makes Money

Cinemark generates revenue primarily through ticket sales and concessions. The bulk of its earnings comes from admissions, as customers pay for tickets to view films in its theaters. Additionally, the company profits from the sale of food and beverages, which typically have higher margins compared to ticket sales. Cinemark also explores alternative revenue streams such as advertising within theaters, partnerships with film studios for promotional events, and special screenings. The company benefits from its loyalty program, which encourages repeat visits and increases customer retention. Overall, its financial performance is influenced by factors such as box office trends, film release schedules, and consumer spending behavior.

Cinemark Holdings Financial Statement Overview

Summary

Cinemark Holdings demonstrates a mixed financial performance. While the company is profitable with stable margins, declining revenue growth and high leverage pose significant risks. The balance sheet shows a high debt-to-equity ratio, and cash flow analysis indicates declining free cash flow growth, which could impact financial stability.

Income Statement

Cinemark Holdings shows a mixed performance in its income statement. The TTM data indicates a slight decline in revenue growth at -2%, but the company maintains a healthy gross profit margin of 41.13%. The net profit margin stands at 9.09%, reflecting profitability, though it has decreased compared to the previous year. The EBIT and EBITDA margins are stable at 14.44% and 20.57%, respectively, indicating operational efficiency. However, the negative revenue growth rate is a concern.

Balance Sheet

The balance sheet reveals high leverage, with a debt-to-equity ratio of 7.72 in the TTM period, indicating significant reliance on debt financing. The return on equity is strong at 60%, suggesting effective use of equity to generate profits. However, the equity ratio is low, reflecting a smaller proportion of equity in the company's asset base, which could pose risks in financial stability.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth at -8.63% in the TTM period, which is a concern. The operating cash flow to net income ratio is 0.36, indicating moderate cash generation relative to net income. The free cash flow to net income ratio is 0.66, suggesting a reasonable conversion of net income into free cash flow. Despite these metrics, the negative growth in free cash flow is a potential risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.15B	3.05B	3.07B	2.45B	1.51B	686.30M
Gross Profit	1.65B	1.96B	570.60M	1.58B	997.60M	450.90M
EBITDA	540.40M	616.30M	603.90M	151.70M	-300.00K	-514.00M
Net Income	154.80M	309.70M	188.20M	-271.20M	-422.80M	-616.80M
Balance Sheet
Total Assets	4.44B	5.07B	4.84B	4.82B	5.23B	5.56B
Cash, Cash Equivalents and Short-Term Investments	461.30M	1.06B	849.10M	674.50M	707.30M	655.34M
Total Debt	3.10B	3.46B	3.55B	3.78B	3.95B	3.93B
Total Liabilities	4.04B	4.46B	4.52B	4.70B	4.90B	4.76B
Stockholders Equity	383.40M	594.40M	309.80M	110.20M	322.90M	787.97M
Cash Flow
Free Cash Flow	278.50M	315.20M	294.80M	25.30M	70.70M	-414.00M
Operating Cash Flow	444.70M	466.00M	444.30M	136.00M	166.20M	-330.10M
Investing Cash Flow	-156.40M	-146.90M	-131.80M	-96.30M	-89.30M	-83.40M
Financing Cash Flow	-770.20M	-103.10M	-125.40M	-52.20M	-19.90M	584.40M

Cinemark Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 24.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CNK, the sentiment is Negative. The current price of 24.65 is below the 20-day moving average (MA) of 26.60, below the 50-day MA of 26.95, and below the 200-day MA of 27.82, indicating a bearish trend. The MACD of -1.02 indicates Positive momentum. The RSI at 42.21 is Neutral, neither overbought nor oversold. The STOCH value of 57.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CNK.

Cinemark Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMAX	76 Outperform	$2.05B	53.38	12.38%	―	9.30%	67.19%
SPHR	66 Neutral	$3.17B	―	-4.46%	―	24.54%	-119.75%
MSGE	64 Neutral	$2.11B	58.54	―	―	0.68%	-80.73%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
CNK	58 Neutral	$2.94B	24.36	32.60%	1.34%	9.70%	-31.62%
LION	52 Neutral	$2.27B	―	―	―	97.19%	-21.46%
AMC	47 Neutral	$1.11B	―	―	―	9.74%	12.29%

Cinemark Holdings Corporate Events

Cinemark Holdings Announces Strong Q3 Financial Results

On November 5, 2025, Cinemark Holdings announced its third-quarter financial results, reporting a total revenue of $858 million and a net income of $51 million. The company eliminated all pandemic-related debt and introduced a $300 million share repurchase program, alongside a 12.5% increase in its quarterly dividend. Cinemark’s strong performance was highlighted by record-breaking results in market share and box office revenues, reflecting its strategic initiatives and financial strength. The share repurchase program aims to mitigate dilution from equity awards and warrants, demonstrating confidence in the company’s long-term prospects.