Cinemark Holdings (NYSE:CNK) is one of the Best Communication Services Stocks According to Hedge Funds..
Benchmark & Co’s Mike Hickey reiterated his optimism on Cinemark Holdings (NYSE:CNK), rating the stock a Buy on December 10. Hickey has set a $35 price target on the stock, implying an upside of more than 55% for investors.
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Hickey discussed the ongoing sales process involving Warner Bros. and Discovery, which is benefiting theatrical exhibition companies in general. He noted the aggressive intentions of the bidders involved in the process, who plan to generate a higher volume of films, maintain stable production and provide continued support for traditional theatrical windows.
According to Hickey, these signs are generating optimism throughout the sector and, in particular, at Cinemark Holdings (NYSE:CNK). This is supported by the fact that the company’s management is currently executing a share buyback program despite a comparatively high price-to-book ratio of 7.48x. This indicates a strong management vision for the business for the foreseeable future and could spark investor interest.
As of the December 7 close, consensus views remain strong for Cinemark Holdings (NYSE:CNK). With an estimated 1-year average price target of $33.67, the stock offers a very impressive upside of over 49%. It has received Buy ratings from 5 of the 6 analysts covering it, with only 1 Hold rating.
Cinemark Holdings (NYSE:CNK) operates one of the largest movie exhibition chains in the world. They carry several brands such as Cinemark, Cinemark XD, Tinseltown and Rave. They are recognized for offering premium entertainment experiences, with a very diverse circuit in the United States, Central America and Latin America.
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Disclosure: None. This article was originally published in Internal jumpsuit.