CINEMARK HOLDINGS INC (CNK) Stock Fundamental Analysis
NYSE:CNK - New York Stock Exchange, Inc. - US17243V1026 - Common Stock - Currency: USD
CNK gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 71 industry peers in the Entertainment industry. CNK has a medium profitability rating, but doesn't score so well on its financial health evaluation. CNK may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
CNK had positive earnings in the past year.
CNK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CNK reported negative net income in multiple years.
Of the past 5 years CNK 4 years had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 4.78%, CNK belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
CNK's Return On Equity of 42.23% is amongst the best of the industry. CNK outperforms 93.94% of its industry peers.
CNK has a better Return On Invested Capital (6.68%) than 78.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.78% | ||
| ROE | 42.23% | ||
| ROIC | 6.68% |
ROA(3y)-3.23%
ROA(5y)-3.49%
ROE(3y)-104.01%
ROE(5y)-75.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 8.20%, CNK belongs to the top of the industry, outperforming 84.85% of the companies in the same industry.
CNK's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 10.15%, CNK is doing good in the industry, outperforming 77.27% of the companies in the same industry.
In the last couple of years the Operating Margin of CNK has declined.
CNK has a better Gross Margin (64.89%) than 75.76% of its industry peers.
CNK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.15% | ||
| PM (TTM) | 8.2% | ||
| GM | 64.89% |
OM growth 3YN/A
OM growth 5Y-3.2%
PM growth 3YN/A
PM growth 5Y-1.8%
GM growth 3Y-0.58%
GM growth 5Y0.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CNK is destroying value.
The number of shares outstanding for CNK has been increased compared to 1 year ago.
Compared to 5 years ago, CNK has more shares outstanding
CNK has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.20, we must say that CNK is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.20, CNK is in line with its industry, outperforming 50.00% of the companies in the same industry.
CNK has a debt to FCF ratio of 10.72. This is a negative value and a sign of low solvency as CNK would need 10.72 years to pay back of all of its debts.
CNK has a Debt to FCF ratio (10.72) which is comparable to the rest of the industry.
A Debt/Equity ratio of 3.52 is on the high side and indicates that CNK has dependencies on debt financing.
The Debt to Equity ratio of CNK (3.52) is worse than 77.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.52 | ||
| Debt/FCF | 10.72 | ||
| Altman-Z | 1.2 |
ROIC/WACC0.89
WACC7.51%
2.3 Liquidity
A Current Ratio of 0.98 indicates that CNK may have some problems paying its short term obligations.
CNK has a Current ratio (0.98) which is comparable to the rest of the industry.
CNK has a Quick Ratio of 0.98. This is a bad value and indicates that CNK is not financially healthy enough and could expect problems in meeting its short term obligations.
CNK has a Quick ratio of 0.96. This is comparable to the rest of the industry: CNK outperforms 48.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 176.79% over the past year.
CNK shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.99% yearly.
CNK shows a decrease in Revenue. In the last year, the revenue decreased by -5.07%.
Measured over the past years, CNK shows a decrease in Revenue. The Revenue has been decreasing by -0.98% on average per year.
EPS 1Y (TTM)176.79%
EPS 3YN/A
EPS 5Y-8.99%
EPS Q2Q%95.08%
Revenue 1Y (TTM)-5.07%
Revenue growth 3Y64.71%
Revenue growth 5Y-0.98%
Sales Q2Q%5.37%
3.2 Future
Based on estimates for the next years, CNK will show a small growth in Earnings Per Share. The EPS will grow by 0.65% on average per year.
Based on estimates for the next years, CNK will show a small growth in Revenue. The Revenue will grow by 1.80% on average per year.
EPS Next Y66.92%
EPS Next 2Y28.44%
EPS Next 3Y24.65%
EPS Next 5Y0.65%
Revenue Next Year-0.88%
Revenue Next 2Y4.9%
Revenue Next 3Y5.27%
Revenue Next 5Y1.8%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
CNK is valuated rather expensively with a Price/Earnings ratio of 18.70.
Compared to the rest of the industry, the Price/Earnings ratio of CNK indicates a rather cheap valuation: CNK is cheaper than 81.82% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 28.28. CNK is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 14.28, which indicates a correct valuation of CNK.
CNK's Price/Forward Earnings ratio is rather cheap when compared to the industry. CNK is cheaper than 84.85% of the companies in the same industry.
CNK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 91.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 14.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CNK is valued a bit cheaper than 78.79% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CNK is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.55 | ||
| EV/EBITDA | 10.34 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CNK has a very decent profitability rating, which may justify a higher PE ratio.
CNK's earnings are expected to grow with 24.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y28.44%
EPS Next 3Y24.65%
5. Dividend
5.1 Amount
CNK does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
CINEMARK HOLDINGS INC
NYSE:CNK (1/30/2025, 1:20:21 PM)
28.98
-0.04 (-0.14%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners118.8%
Inst Owner Change0.28%
Ins Owners2.44%
Ins Owner Change-3.61%
Market Cap3.55B
Analysts73.33
Price Target33.85 (16.8%)
Short Float %22.91%
Short Ratio10.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)181.96%
Min EPS beat(2)109.69%
Max EPS beat(2)254.24%
EPS beat(4)3
Avg EPS beat(4)137.58%
Min EPS beat(4)-12.61%
Max EPS beat(4)254.24%
EPS beat(8)6
Avg EPS beat(8)54.89%
EPS beat(12)7
Avg EPS beat(12)13.13%
EPS beat(16)7
Avg EPS beat(16)5%
Revenue beat(2)2
Avg Revenue beat(2)4.15%
Min Revenue beat(2)3.21%
Max Revenue beat(2)5.09%
Revenue beat(4)4
Avg Revenue beat(4)3.18%
Min Revenue beat(4)2.08%
Max Revenue beat(4)5.09%
Revenue beat(8)7
Avg Revenue beat(8)3.29%
Revenue beat(12)11
Avg Revenue beat(12)3.59%
Revenue beat(16)14
Avg Revenue beat(16)8.78%
PT rev (1m)2.82%
PT rev (3m)12.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-30.64%
EPS NY rev (1m)0%
EPS NY rev (3m)53.27%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 14.28 | ||
| P/S | 1.23 | ||
| P/FCF | 15.55 | ||
| P/OCF | 9.38 | ||
| P/B | 6.35 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.34 |
EPS(TTM)1.55
EY5.35%
EPS(NY)2.03
Fwd EY7%
FCF(TTM)1.86
FCFY6.43%
OCF(TTM)3.09
OCFY10.66%
SpS23.49
BVpS4.56
TBVpS-8.08
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.78% | ||
| ROE | 42.23% | ||
| ROCE | 7.72% | ||
| ROIC | 6.68% | ||
| ROICexc | 8.86% | ||
| ROICexgc | 19.36% | ||
| OM | 10.15% | ||
| PM (TTM) | 8.2% | ||
| GM | 64.89% | ||
| FCFM | 7.94% |
ROA(3y)-3.23%
ROA(5y)-3.49%
ROE(3y)-104.01%
ROE(5y)-75.3%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-1.28%
ROICexc growth 3YN/A
ROICexc growth 5Y-2.31%
OM growth 3YN/A
OM growth 5Y-3.2%
PM growth 3YN/A
PM growth 5Y-1.8%
GM growth 3Y-0.58%
GM growth 5Y0.38%
F-Score6
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.52 | ||
| Debt/FCF | 10.72 | ||
| Debt/EBITDA | 4.01 | ||
| Cap/Depr | 75.68% | ||
| Cap/Sales | 5.22% | ||
| Interest Coverage | 1.96 | ||
| Cash Conversion | 77.16% | ||
| Profit Quality | 96.73% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 1.2 |
F-Score6
WACC7.51%
ROIC/WACC0.89
Cap/Depr(3y)51.28%
Cap/Depr(5y)60.48%
Cap/Sales(3y)5.24%
Cap/Sales(5y)7.44%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)176.79%
EPS 3YN/A
EPS 5Y-8.99%
EPS Q2Q%95.08%
EPS Next Y66.92%
EPS Next 2Y28.44%
EPS Next 3Y24.65%
EPS Next 5Y0.65%
Revenue 1Y (TTM)-5.07%
Revenue growth 3Y64.71%
Revenue growth 5Y-0.98%
Sales Q2Q%5.37%
Revenue Next Year-0.88%
Revenue Next 2Y4.9%
Revenue Next 3Y5.27%
Revenue Next 5Y1.8%
EBIT growth 1Y-17.78%
EBIT growth 3YN/A
EBIT growth 5Y-4.15%
EBIT Next Year63.26%
EBIT Next 3Y29.39%
EBIT Next 5Y11.82%
FCF growth 1Y72.12%
FCF growth 3YN/A
FCF growth 5Y6.94%
OCF growth 1Y60.13%
OCF growth 3YN/A
OCF growth 5Y-4.42%