AMC Plans to Issue 3 3 Million More Shares of AMC Stock

In regard to market dominance, AMC Entertainment operates 22 of the US 50 busiest movie theaters and 4 of the top 5. Later, the company announced the launch of streaming services in 2019 and listed thousands of titles across a wide spectrum of genres and categories by mid-2022. AMC Entertainment Holdings, Inc., is the world’s largest movie theater chain with over 11,000 screens. The company was founded in 1920 by the Dubinsky Family and is headquartered in Leawood, Kansas. The company has been in business for over 90 years but went public in 2013 after getting bought out by an investment group seeking to boost the company’s global presence.

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• 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.
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• 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.
• Movie-theater chain and original meme stock AMC expects a box-office boost from a slate of major releases in 2025.
• AMC Entertainment Holdings, Inc., is the world’s largest movie theater chain with over 11,000 screens.
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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.

AMC Plans to Issue 3.3 Million More Shares of AMC Stock

For AMC Entertainment, the consensus sales estimate for the current quarter of $1.27 billion indicates a year-over-year change of +15.3%. For the current and next fiscal years, $4.6 billion and $5.08 billion estimates indicate -4.3% and +10.3% changes, respectively. It’s also important for investors to be aware of go markets jobs employment 2021 any recent modifications to analyst estimates for AMC Entertainment.

These firms have been generally unloved by most mainstream investors, as reflected in their previously desultory share prices. The addition of snacks and drinks to the offering was a major boost to revenue. As of mid-2022, F&B is the second largest source of income for the company after box-office sales and accounts for roughly 28% of the revenue. Among the many innovations are the world’s first multiplex (a location with more than one screen), the addition of cup holders to the chairs in 1981, and a website with showtimes and listings nationally. The company made headlines again in 2011 with the launch of its STUBS rewards program, a premier program that offers discounts and other deals to its members. The domestic box office is on the rebound, but AMC’s debt load is preventing it from fully capitalizing on the revival.

• AMC shares are falling ahead of a 10-to-1 reverse stock split scheduled to take effect Thursday.
• The company’s new sweets will be available in AMC theaters starting this week.
• Cinema chain and memestock star AMC saw its stock crater again this week after announcing plans to sell more of its common shares.
• Whether a stock’s current price rightly reflects the intrinsic value of the underlying business and the company’s growth prospects is an essential determinant of its future price performance.
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Select to analyze similar companies using key performance metrics; select up to 4 stocks. The sale could represent as much as 7.7% of the 519.2 million shares outstanding. On a brighter note, AMC announced this morning that it would expand its presence in the “Premium Gourmet Candies” sector by offering its own line of branded chocolate candies. These include chocolate covered pretzels, almonds, raisins and peanuts. The company’s new sweets will be available in AMC theaters starting this week. Compared to the Zacks Consensus Estimate of $1.33 billion, the reported revenues represent a surprise of +1.2%.

At the same time, the Dow added 0.93%, and the tech-heavy Nasdaq gained 0.22%. 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. Fueled by online forum discussion, especially on Reddit, Cohen attracted an army of believers in his strategy that sent the value of GameStop stock to as high as $81.25 after never breaking $14 a share.

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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”. AMC Entertainment reported revenues of $1.35 billion in the last reported quarter, representing a year-over-year change of -4.1%. While earnings growth is arguably the most superior indicator of a company’s financial health, nothing happens as such if a business isn’t able to grow its revenues. After all, it’s nearly impossible for a company to increase its earnings for an extended period without increasing key to markets review is scam or legit forex broker its revenues. Here at Zacks, we prioritize appraising the change in the projection of a company’s future earnings over anything else.

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The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for AMC Entertainment. At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. 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 +24.30% per year. These returns cover a period from January 1, 1988 through December 30, 2024. Zacks Rank stock-rating system returns Supermarket stocks 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.

Certain Zacks Rank stocks for which no month-end price was available, pricing information was not collected, or for certain other reasons have been excluded from these return calculations. Zacks may license the Zacks Mutual Fund rating provided herein to third parties, including but not limited to the issuer. The beleaguered cinema chain AMC Entertainment has announced plans to sell more of its common shares.