Jodom_Jay wrote a post · Oct 24, 2022 17:34

Don't Count on a Comeback for AMC Stock

$AMC Entertainment (AMC.US)$ $AMC Preferred Equity Unit (APE.US)$
Meme traders darling from the last year, AMC Entertainment is trading near its 52-week low of $5.47 and has lost more than 75% in 2022. And given its bleak fundamentals, the stock might not be able to sustain its gains, even if it manages a rally. Let’s discuss its prospects in detail….

AMC Entertainment Holdings, stock was recently downgraded by B. Riley analyst Eric Wold, citing drained-out box-office recovery in the post-pandemic era. The company operates 22 of the 50 highest-grossing theaters in the United States.

"Although consumer demand remains intact, in our opinion, the number of films released to theaters remains ~50% below pre-pandemic levels — which impacts both the cadence of moviegoing and the ability to catch trailers for upcoming films,” Wold said.

Shares of the retail-investor favorite of 2021 are trading below their 50-day moving average of $10.44 and 200-day moving average of $14.94. Moreover, the stock hit its 52-week low of $5.47 on October 13, 2022.

Over the past month, AMC has lost 27.1% to close the last trading session at $6.35. It has lost 76.7% year-to-date and 84.5% over the past year.

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