This Fund Exited an $8 Million Cinemark Position Amid 20% Stock Drop Last Quarter

Core Viewpoint - Marathon Asset Management has fully liquidated its entire stake in Cinemark Holdings, amounting to an estimated $8.41 million, indicating a strategic shift in investment focus [1][2]. Company Overview - Cinemark Holdings operates in the motion picture exhibition business, founded in 1984 and headquartered in Plano, Texas [6]. - The company reported a total revenue of $3.1 billion and a net income of $136.6 million for the trailing twelve months (TTM) [4]. - Cinemark's dividend yield stands at 1.30%, with shares priced at $25.36 as of February 17, 2026 [4]. Financial Performance - In 2025, Cinemark generated over $3.1 billion in revenue, marking its highest annual total since theaters reopened post-pandemic [10]. - The company produced approximately $578 million in adjusted EBITDA and $141 million in net income during the same period [10]. - Cinemark served around 193 million moviegoers in 2025, achieving a record $1.2 billion in concession revenue [11]. Market Position and Challenges - Cinemark's business model focuses on maximizing attendance and per-patron spending through a diverse film slate and premium amenities [8]. - The stock price of Cinemark has experienced volatility, with shares dropping nearly 20% in the fourth quarter of 2025 before rebounding sharply in 2026, reflecting the unpredictable nature of consumer behavior and content cycles [12]. - The company's previous stake represented 11.2% of Marathon Asset Management's assets under management (AUM) [7].