Cinemark Holdings (CNK): Upgrade to Neutral following recent improvements in secular backdrop and execution

Research evidence excerpt

Cinemark Holdings (CNK): Upgrade to Neutral following recent improvements in secular backdrop and execution

Equity Research

8 July 2026 | 4:56PM EDT

Cinemark Holdings (CNK): Upgrade to Neutral following recent

improvements in secular backdrop and execution

We upgrade shares of CNK to Neutral from Sell and increase our price target to Stephen Laszczyk

+1(212)357-9225 |

$30 from $23, following a moderation in structural downside risks to the theatrical stephen.laszczyk@gs.com

Goldman Sachs & Co. LLC

industry, improved visibility into the durability of near-term industry box office

Antares Tobelem

trends, and solid execution by CNK across market share and pricing. +1(212)357-2497 |

antares.tobelem@gs.com

Since being added to the Americas Sell List on June 2, 2021, shares of CNK are up

Danni Kennedy20% compared to the S&P 500 up 78% over the same period. While several of the +1(212)902-7178 |

key tenets of our original Sell Thesis have played out over the last ~five years, danni.kennedy@gs.comGoldman Sachs & Co. LLC

including i) a slower-than-anticipated recovery in industry film supply following the

pandemic, ii) a range-bound domestic box office driven by a more

muted-than-expected recovery in attendance, and iii) weaker than expected margin

expansion / operating leverage against a heavier-than-expected cost structure, we

acknowledge the progress the industry and CNK have made over the last ~six months

on preserving film-supply, windowing, market-share, and pricing power, resulting in

moderating downside-risk to Adjusted EBITDA.

Our 12-month price target of $30, remains based on an equal-weighted average of

three valuation methodologies: 33% on 7.0x 2027E TEV/Adjusted EBITDA, 33% on

12.0x 2027E P/FCF, and 33% DCF using a 10.4% WACC and a 2.4% TGR. Our higher