Last Friday, Citigroup analyst Jason Bazinet maintained AMC Entertainment Holdings with a Sell rating and lowered the price target from $1.65 to $1.55. AMC Entertainment Holdings Inc AMC shares are trading higher Wednesday, bouncing back from the selling pressure the stock has faced in recent weeks. If anyone thinks AMC wants to get into a litigation fight with its shareholders over conversion plans and stock sales for fun, they’re wrong. It’s all being fought to pay off some of AMC’s considerable debt mountain, which Bloomberg puts the figure at $9.5 billion. The cinema has previously used the now-defunct APE shares to pay off $548 million in debt.
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Financial Highlights
AMC shares are falling ahead of a 10-to-1 reverse stock split scheduled to take effect Thursday. AMC Preferred Equity Units APE will be converted to AMC common stock the following day. The number of AMC shares will increase from approximately 542.2 million to 550 million shares following the reverse split and stock conversion. AMC’s latest earnings report for the second quarter was a bright spot against a dismal performance for the stock.
The most recent trading session ended with AMC Entertainment (AMC) standing at $2.78, reflecting a -0.71% shift from the previouse trading day’s closing. The stock’s change was less than the S&P 500’s daily gain of 0.13%. Elsewhere, the Dow saw a downswing of 1.33%, while the tech-heavy Nasdaq depreciated by 0.13%. Please bear with us index fund vs mutual fund as we address this and restore your personalized lists. AMC said at the time that it intends to use the net proceeds to bolster liquidity and to repay, refinance, redeem or repurchase its existing indebtedness.
Industry, Sector and Symbol
A more straightforward question to answer might be, what isn’t happening? Before this week’s announcement, a flurry of activity in AMC stock in recent weeks has left investors uneasy. Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions. In the latest market close, AMC Entertainment (AMC Quick QuoteAMC – Free Report) reached $2.99, with a -1.64% movement compared to the previous day. On the other hand, the Dow registered a loss of 0.03%, and the technology-centric Nasdaq decreased by 0.33%. When trying to assess whether or not AMC will trade higher from current levels, it’s a good idea to take a look at analyst forecasts.
Last month, AMC’s CEO Adam Aron released a statement on X stating the goal for the company was “Do not let AMC fall into financial ruin, ensure that AMC survives, put AMC on a path to eventually thrive”. Investors should also take note of any recent adjustments to analyst estimates for AMC Entertainment. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates falling wedge express analysts’ positivity towards the company’s business operations and its ability to generate profits. The analyst, who has a Neutral rating and $4 price target, said rising expenses also factor into the company’s storyline.
year income & revenue
As part of the equity distribution agreement approved by the courts, AMC can sell about 390 million new common stock shares worth about $3.4 billion. AMC has also completed a reverse stock split that left shareholders with one share for every ten they previously held. The logic behind this is that increasing AMC’s share price through the split gives the struggling cinema chain more wiggle room to prop up its balance sheet. The beleaguered cinema chain AMC Entertainment has announced plans to sell more of its common shares. The ‘at the market’ offering program will sell up to 40 million shares of class A common stock, with Citigroup Global Markets, Barclays Capital, B. Riley Securities, and Goldman Sachs facilitating the sale.
Here are the key earnings estimates, what analysts are saying and key items for investors to watch. Thanksgiving Day was the busiest in company history based on attendance and admissions revenue. Black Friday marked the highest attendance Black Friday in AMC history and the highest revenue total on a Friday ever. AMC also noted that this year’s Black Friday was the second highest total revenue day in company history. AMC Entertainment Holdings, Inc owns, operates, or has an interest in cinema theatres in the United States and Europe but has also expanded into digital and streaming media. In 2000, the company partnered to offer the first online ticket sales and expands it to all theaters, even Empire 25 in New York, the world’s busiest movie theater.
Here’s a look at recent price target changes Analyst Ratings. Check out how analysts covering AMC have performed in recent history. The company pre-announced first-quarter revenue of $951.4 million recently.
Shares of AMC Entertainment reverse split before market open on Thursday, August 24th 2023. The 1-10 reverse split was announced on Monday, August 14th 2023. The number of shares owned by shareholders was adjusted after the market closes on Wednesday, August 23rd 2023. An investor that had 100 shares of stock prior to the reverse split would have 10 shares after the split. The average analyst price target suggests the stock could have further upside ahead. Wall Street analysts have an average 12-month price target of $5 on AMC.
Price Score
- Zacks Ranks stocks can, and often do, change throughout the month.
- AMC Entertainment Holdings Inc AMC shares are trading higher Wednesday, bouncing back from the selling pressure the stock has faced in recent weeks.
- Following the offering, AMC shares fell to new lows and bankruptcy concerns climbed, but at the 2024 CinemaCon in Las Vegas last week, AMC CEO Adam Aron said a restructuring is not in the cards for AMC.
Tuesday morning, AMC announced it had raised $250 million off the run-up in its stock value from the near-doubling of its share price Monday (though it was just $3 to $5 per share). These firms have been generally unloved by most mainstream investors, as reflected in their previously desultory share prices. At AMC theatres in the United States and abroad, AMC welcomed more than 8 million moviegoers from Wednesday through Sunday.
This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +23.89% per year. These returns cover a period from January 1, 1988 through March 3, 2025. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return. The monthly returns are then compounded to arrive at the annual return.
Data from BoxOfficeMojo shows the first quarter domestic box office totaling $1.61 billion, which was down 6.6% year-over-year. “AMC expanded its market share in 2023 and can expand further from its 22.5% market share with its vast network of premium large-format screens and concert movie distribution,” Reese said. Analysts expect AMC to report a loss of 79 cents per share in the first quarter, compared to a loss of $1.30 per share in last year’s first quarter. By driving up the price and “squeezing” these short sellers, Gill and his cohort created massive losses for the skeptics, which included large hedge funds and institutional traders. But on Monday, one of the chief meme-stock cheerleaders, known by the online moniker Roaring Kitty, posted a meme signaling he was planning to become active again.
- In the case of AMC, which is trading at $2.83 as of publishing time, $100 would buy you 35.34 shares of stock.
- Our experts picked 7 Zacks Rank #1 Strong Buy stocks with the best chance to skyrocket within the next days.
- The company was founded in 1920 by the Dubinsky Family and is headquartered in Leawood, Kansas.
- These firms have been generally unloved by most mainstream investors, as reflected in their previously desultory share prices.
AMC Entertainment Holdings, Inc. to Announce First Quarter 2025 Results and Host Earnings Webcast
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Our system takes these estimate changes into account and delivers a clear, actionable rating model. Wednesday’s drop was the biggest one-day sell-off AMC stock has seen since February 2021.
Ironically, this action actually reduces the value of shares held by the speculators. Leading the way is video game retailer GameStop, whose shares have soared approximately 180% to $48.75 after closing at $17.39 Friday. AMC said 8.8 million moviegoers attended a movie at AMC theaters in the U.S. and at ODEON Cinemas internationally during the Wednesday through Sunday Thanksgiving period.
Our experts picked 7 Zacks Rank #1 Strong Buy stocks with the best chance to skyrocket within the next days. The two biggest movie releases by domestic box office happened in early March outside of the winter box office season. Total box office from January to February was down 45% compared to the same months in 2020. “We are ebullient about the upcoming film slate, and we expect to see an increasingly strong box office as the year progresses,” the company said.
The estimate of $871 million would mark the lowest quarterly revenue by AMC since the first quarter of 2022. “Beyond these blockbuster movies, there were so many appealing films – big, medium, and small – drawing great crowds to our cinemas this holiday period,” Aron said. AMC noted that its forex etoro review merchandise program for “Wicked” was well received with collectibles selling out about halfway through the weekend.
Things are looking up for AMC after a strong quarter ahead of the summer blockbuster, which should be reflected in its Q3 results later this year. But the company would prefer to risk the wrath of Wall Street than stop its plans to sell shares to raise some much-needed cash to fix its liquidity problems. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.66 per share and revenue of $5.04 billion. These totals would mark changes of +48.44% and +8.71%, respectively, from last year.
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