AMC Entertainment (NYSE:AMC) Trading Down 8.9% – Should You Sell?

Shares of AMC Entertainment Holdings, Inc. (NYSE:AMC) fell 8.9% during trading on Wednesday . The company traded as low as $1.87 and last traded at $1.8850. 7,375,033 shares traded hands during trading, a decline of 79% from the average session volume of 34,638,734 shares. The stock had previously closed at $2.07.

Wall Street Analyst Weigh In

A number of brokerages have commented on AMC. Roth Mkm set a $1.50 price target on shares of AMC Entertainment in a research note on Tuesday, May 19th. B. Riley Financial reaffirmed a “neutral” rating on shares of AMC Entertainment in a report on Friday, April 17th. Weiss Ratings reissued a “sell (e+)” rating on shares of AMC Entertainment in a report on Monday, April 20th. Citigroup boosted their price target on shares of AMC Entertainment from $1.10 to $1.20 and gave the stock a “sell” rating in a report on Thursday, May 7th. Finally, Wall Street Zen raised shares of AMC Entertainment from a “strong sell” rating to a “hold” rating in a report on Saturday, May 9th. Two research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $2.24.

AMC Entertainment Price Performance

The firm has a market capitalization of $1.15 billion, a PE ratio of -1.77 and a beta of 2.22. The company’s fifty day simple moving average is $1.42 and its 200 day simple moving average is $1.55.

AMC Entertainment (NYSE:AMC) last announced its quarterly earnings results on Tuesday, May 5th. The company reported ($0.36) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.32) by ($0.04). The firm had revenue of $1.05 billion for the quarter, compared to analysts’ expectations of $979.19 million. During the same quarter last year, the firm posted ($0.58) earnings per share. The company’s quarterly revenue was up 21.2% on a year-over-year basis. On average, analysts anticipate that AMC Entertainment Holdings, Inc. will post -0.41 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Adam M. Aron purchased 250,000 shares of the stock in a transaction dated Tuesday, May 19th. The shares were purchased at an average cost of $1.38 per share, with a total value of $345,000.00. Following the completion of the acquisition, the chief executive officer owned 2,437,020 shares in the company, valued at $3,363,087.60. This represents a 11.43% increase in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Insiders own 0.43% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of AMC. Jones Financial Companies Lllp increased its position in shares of AMC Entertainment by 761.8% in the third quarter. Jones Financial Companies Lllp now owns 8,480 shares of the company’s stock worth $25,000 after purchasing an additional 7,496 shares during the last quarter. Triumph Capital Management increased 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 worth $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% in 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 during the last quarter. Pitcairn Co. bought a new position in shares of AMC Entertainment in the second quarter worth approximately $34,000. Finally, Powell Investment Advisors LLC bought a new position in shares of AMC Entertainment in the fourth quarter worth approximately $39,000. 28.80% of the stock is currently 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.