Investors Still Aren’t Entirely Convinced By Cinemark Holdings, Inc.’s (NYSE:CNK) Earnings Despite 25% Price Jump
Cinemark Holdings, Inc. (NYSE:CNK) shareholders would be excited to see that the share price has had a great month, posting a 25% gain and recovering from prior weakness. Looking back a bit further, it’s encouraging to see the stock is up 77% in the last year.
Although its price has surged higher, Cinemark Holdings’ price-to-earnings (or “P/E”) ratio of 14.5x might still make it look like a buy right now compared to the market in the United States, where around half of the companies have P/E ratios above 18x and even P/E’s above 32x are quite common. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for the reduced P/E.
We’ve discovered 1 warning sign about Cinemark Holdings. View them…
