AMC Entertainment (NYSE:AMC) Trading Down 6.5% – Time to Sell?

AMC Entertainment Holdings, Inc. (NYSE:AMC) shares fell 6.5% on Friday . The stock traded as low as $1.90 and last traded at $1.9350. 10,387,573 shares changed hands during trading, a decline of 72% from the average session volume of 37,551,828 shares. The stock had previously closed at $2.07.

AMC Entertainment News Summary

Here are the key news stories impacting AMC Entertainment this week:

• Positive Sentiment: AMC refinanced $400 million of high-interest debt on better terms, which lowers financing costs and reduces near-term balance-sheet pressure. AMC (NYSE:AMC) Refinances $400 Million In Debt And Converts $150 Million To Equity
• Positive Sentiment: The company also converted about $150 million to $155.8 million of senior secured exchangeable notes into equity, which cuts long-term obligations and helps ease restrictive covenants. AMC Entertainment Holdings (AMC) Is Up 8.9% After Debt Refinancing And Note Conversion – Has The Bull Case Changed?
• Positive Sentiment: AMC heads into its second-quarter earnings release on July 20 with some analysts citing stronger box-office momentum and improving financial flexibility, which has helped sentiment around the stock. Should You Buy, Sell, or Hold AMC Stock Before Q2 Earnings Release?
• Neutral Sentiment: Wall Street is also watching AMC’s upcoming Q2 print and recent analyst commentary, including a Texas Capital upgrade to “strong-buy,” but the bigger near-term driver appears to be debt restructuring rather than operating results. Tickerreport.com

Wall Street Analyst Weigh In

Several analysts have commented on AMC shares. B. Riley Financial reiterated a “buy” rating on shares of AMC Entertainment in a research note on Thursday, June 11th. Weiss Ratings raised AMC Entertainment from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, June 23rd. Citigroup boosted their target price on AMC Entertainment from $1.10 to $1.20 and gave the stock a “sell” rating in a research report on Thursday, May 7th. Wall Street Zen raised AMC Entertainment from a “strong sell” rating to a “hold” rating in a research note on Saturday, May 9th. Finally, Texas Capital raised AMC Entertainment from a “hold” rating to a “strong-buy” rating in a research note on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, three have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and an average target price of $1.80.

AMC Entertainment Stock Down 7.0%

The company has a market cap of $1.72 billion, a PE ratio of -1.82 and a beta of 2.08. The stock’s 50 day moving average is $1.90 and its 200-day moving average is $1.55.

AMC Entertainment (NYSE:AMC) last issued its quarterly earnings data on Tuesday, May 5th. The company reported ($0.36) EPS for the quarter, missing analysts’ consensus estimates of ($0.32) by ($0.04). The business had revenue of $1.05 billion for the quarter, compared to analyst estimates of $979.19 million. During the same period in the prior year, the firm earned ($0.58) earnings per share. The firm’s quarterly revenue was up 21.2% on a year-over-year basis. On average, analysts anticipate that AMC Entertainment Holdings, Inc. will post -0.35 EPS for the current fiscal year.

Insider Activity at AMC Entertainment

In other AMC Entertainment news, CEO Adam M. Aron purchased 250,000 shares of the stock in a transaction that occurred on Tuesday, May 19th. The stock was purchased at an average price of $1.38 per share, with a total value of $345,000.00. Following the acquisition, the chief executive officer owned 2,437,020 shares in the company, valued at approximately $3,363,087.60. The trade was a 11.43% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Insiders own 0.43% of the company’s stock.

Institutional Investors Weigh In On AMC Entertainment

Several large investors have recently added to or reduced their stakes in AMC. Triumph Capital Management lifted its stake in shares of AMC Entertainment by 139.0% in the 4th quarter. Triumph Capital Management now owns 19,000 shares of the company’s stock valued at $30,000 after purchasing an additional 11,050 shares during the last quarter. Royal Bank of Canada increased its position in shares of AMC Entertainment by 90.7% during the 1st quarter. Royal Bank of Canada now owns 33,657 shares of the company’s stock valued at $33,000 after purchasing an additional 16,011 shares during the last quarter. Pitcairn Co. purchased a new stake in AMC Entertainment during the 2nd quarter valued at $34,000. Powell Investment Advisors LLC purchased a new stake in AMC Entertainment during the 4th quarter valued at $39,000. Finally, Corient Private Wealth LLC bought a new stake in AMC Entertainment in the fourth quarter worth $41,000. 28.80% of the stock is owned by institutional investors.

AMC Entertainment Company Profile

AMC Entertainment Holdings, Inc operates as a leading movie exhibition company, specializing in the presentation of theatrical motion pictures across a network of multiplex cinemas. The company’s core business activities encompass ticket sales, concession and refreshment services, and the licensing of premium viewing formats. AMC offers a variety of auditorium experiences, including IMAX®, Dolby Cinema™, and Cinemark’s RealD 3D systems, designed to enhance audience engagement through superior sound, visual clarity, and seating comfort.

Originally founded in 1920 with its first theatre in Kansas City, AMC has evolved into one of the largest theater chains in the world.