AMC Networks (NASDAQ:AMCX) Share Price Breaks Above 200 Day Moving Average - Here's Why

Key Points

• AMC Networks shares broke above their 200-day moving average, reaching $10.86 before closing at $10.15, compared with the $10.20 moving average.
• Analyst sentiment remains negative: Morgan Stanley, Weiss Ratings, and Zacks Research recently downgraded the stock, while the consensus rating is “Strong Sell” with a $10.00 price target.
• The company’s latest quarter showed weakness, with revenue down 8.8% year over year and adjusted EPS of -$0.28, missing the -$0.12 consensus estimate.

AMC Networks Inc. (NASDAQ:AMCX - Get Free Report)'s share price passed above its 200-day moving average during trading on Friday. The stock has a 200-day moving average of $10.20 and traded as high as $10.86. AMC Networks shares last traded at $10.15, with a volume of 1,072,456 shares traded.

Analyst Upgrades and Downgrades

AMCX has been the subject of a number of analyst reports. Morgan Stanley reduced their price objective on AMC Networks from $10.00 to $9.00 and set an "underweight" rating for the company in a research report on Thursday. Weiss Ratings cut AMC Networks from a "hold (c-)" rating to a "sell (d-)" rating in a research note on Tuesday, August 11th. Zacks Research downgraded AMC Networks from a "strong-buy" rating to a "hold" rating in a report on Thursday, September 10th. Wells Fargo & Company boosted their target price on AMC Networks from $10.00 to $11.00 and gave the stock an "equal weight" rating in a report on Friday, July 31st. Finally, UBS Group increased their target price on AMC Networks from $6.00 to $10.00 and gave the stock a "sell" rating in a research note on Wednesday, August 12th. Two analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Strong Sell" and a consensus price target of $10.00.

AMC Networks Price Performance

The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 1.76. The firm has a market capitalization of $418.69 million, a PE ratio of -12.38 and a beta of 1.39. The firm's fifty day simple moving average is $11.85 and its 200-day simple moving average is $10.20.

AMC Networks (NASDAQ:AMCX - Get Free Report) last issued its earnings results on Thursday, July 30th. The company reported ($0.28) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.12) by ($0.16). AMC Networks had a positive return on equity of 3.76% and a negative net margin of 0.88%. The firm had revenue of $547.50 million during the quarter, compared to the consensus estimate of $555.74 million. During the same quarter in the prior year, the company posted $0.69 EPS. The company's quarterly revenue was down 8.8% on a year-over-year basis. On average, research analysts forecast that AMC Networks Inc. will post 2.41 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CAO Michael Sherin, III sold 10,648 shares of the company's stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $12.35, for a total value of $131,502.80. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 16.13% of the stock is currently owned by insiders.

Institutional Trading of AMC Networks

A number of institutional investors and hedge funds have recently modified their holdings of AMCX. Allspring Global Investments Holdings LLC lifted its holdings in shares of AMC Networks by 35.1% during the first quarter. Allspring Global Investments Holdings LLC now owns 1,346,142 shares of the company's stock valued at $9,423,000 after purchasing an additional 349,373 shares in the last quarter. Segall Bryant & Hamill LLC purchased a new stake in shares of AMC Networks during the first quarter valued at $1,060,000. Meeder Asset Management Inc. boosted its position in shares of AMC Networks by 70.2% during the first quarter. Meeder Asset Management Inc. now owns 18,534 shares of the company's stock valued at $126,000 after buying an additional 7,643 shares during the last quarter. Money Concepts Capital Corp boosted its position in shares of AMC Networks by 13.7% during the first quarter. Money Concepts Capital Corp now owns 65,109 shares of the company's stock valued at $442,000 after buying an additional 7,846 shares during the last quarter. Finally, SG Americas Securities LLC boosted its position in shares of AMC Networks by 14.1% during the first quarter. SG Americas Securities LLC now owns 23,405 shares of the company's stock valued at $159,000 after buying an additional 2,885 shares during the last quarter. Institutional investors own 78.51% of the company's stock.

AMC Networks Company Profile

AMC Networks Inc is an entertainment company that develops, produces, and distributes television and digital content. Its portfolio includes national cable networks such as AMC, WE tv, IFC, SundanceTV, and BBC America, along with streaming services including AMC+, Acorn TV, Shudder, ALLBLK, and HIDIVE.

The company's programming spans scripted dramas, films, documentaries, unscripted series, anime, and other specialty content. AMC Networks also licenses and distributes its programming through pay-TV providers, digital platforms, and international channels, serving audiences in the United States and selected markets worldwide.

AMC Networks traces its roots to Rainbow Media, a Cablevision subsidiary that operated several specialty television networks.

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