AMC Entertainment (NYSE:AMC) Stock Price Up 7.2% - Still a Buy?

Key Points

• AMC shares rose 7.2% on Tuesday, trading as high as $2.03 after closing at $1.87, though volume was well below average.
• Analyst sentiment remains cautious: the stock now has a consensus rating of “Hold” and a consensus target price of $1.80, despite a few upgrades and buy ratings.
• Recent fundamentals were mixed: AMC beat revenue expectations with $1.05 billion in quarterly sales, but missed earnings estimates, while CEO Adam Aron bought 250,000 shares in May.

Shares of AMC Entertainment Holdings, Inc. (NYSE:AMC - Get Free Report) shot up 7.2% on Tuesday . The company traded as high as $2.03 and last traded at $2.0050. Approximately 11,338,036 shares were traded during mid-day trading, a decline of 70% from the average session volume of 37,634,227 shares. The stock had previously closed at $1.87.

Analyst Ratings Changes

Several equities research analysts have recently commented on the stock. Wall Street Zen raised shares of AMC Entertainment from a "strong sell" rating to a "hold" rating in a research report on Saturday, May 9th. Weiss Ratings raised shares of AMC Entertainment from a "sell (e+)" rating to a "sell (d-)" rating in a report on Tuesday, June 23rd. Roth Capital set a $1.50 target price on shares of AMC Entertainment in a research report on Tuesday, May 19th. Benchmark upgraded shares of AMC Entertainment from a "hold" rating to a "buy" rating and set a $2.50 price target on the stock in a research report on Wednesday, May 6th. Finally, B. Riley Financial reiterated a "buy" rating on shares of AMC Entertainment in a research note on Thursday, June 11th. Two investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $1.80.

AMC Entertainment Price Performance

The business has a 50-day simple moving average of $1.86 and a 200 day simple moving average of $1.54. The firm has a market cap of $1.78 billion, a PE ratio of -1.89 and a beta of 2.08.

AMC Entertainment (NYSE:AMC - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The company reported ($0.36) earnings per share for the quarter, missing analysts' consensus estimates of ($0.32) by ($0.04). The firm had revenue of $1.05 billion during the quarter, compared to analysts' expectations of $979.19 million. The firm's quarterly revenue was up 21.2% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.58) earnings per share. On average, equities analysts forecast that AMC Entertainment Holdings, Inc. will post -0.37 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Adam M. Aron purchased 250,000 shares of the stock in a transaction on Tuesday, May 19th. The shares were acquired at an average price of $1.38 per share, with a total value of $345,000.00. Following the completion of the acquisition, the chief executive officer directly owned 2,437,020 shares of the company's stock, valued at $3,363,087.60. This trade represents a 11.43% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. 0.43% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On AMC Entertainment

Institutional investors have recently bought and sold shares of the business. Triumph Capital Management lifted its position in shares of AMC Entertainment by 139.0% in the fourth quarter. Triumph Capital Management now owns 19,000 shares of the company's stock valued at $30,000 after acquiring an additional 11,050 shares in the last quarter. Royal Bank of Canada grew its position in shares of AMC Entertainment by 90.7% during the first quarter. Royal Bank of Canada now owns 33,657 shares of the company's stock worth $33,000 after purchasing an additional 16,011 shares in the last quarter. Pitcairn Co. purchased a new stake in shares of AMC Entertainment during the second quarter worth about $34,000. Powell Investment Advisors LLC bought a new stake in AMC Entertainment during the 4th quarter valued at approximately $39,000. Finally, Corient Private Wealth LLC bought a new stake in AMC Entertainment during the 4th quarter valued at approximately $41,000. Hedge funds and other institutional investors own 28.80% of the company's stock.

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.

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