AMC’s stock jumps more than 20% on eve of earnings

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AMC Entertainment Holdings Inc.’s stock jumped more than 21% Monday on the eve of the meme-stock darling’s fourth-quarter earnings.

The movie theater chain’s stock has rallied recently, climbing 44.3% in the past five days. However, AMC’s Preferred Equity units APE fell 2.8% Monday and have fallen 12.6% in the last five days. The S&P 500 index SPX rose 0.4% Monday and has fallen 2.3% in the last five days.The movie theater chain’s stock has rallied recently, climbing 44.3% in the past five days. However, AMC’s Preferred Equity units APE fell 2.8% Monday and have fallen 12.6% in the last five days.

AMC’s path to recovery could be helped by an increase in movies released in theaters this year, according to CEO Adam Aron. He recently noted that 35% more movies will be released in 2023 than in 2022, as the movie-theater industry attempts to recover from COVID-19-related slowdown. Wedbush analyst Alicia Reese wrote in a Monday note that theatrical exhibition is “on the path to normalization,” with an improving slate of releases in 2023.

In November, AMC announced its 12th consecutive quarterly loss. The company’s sales were $968.4 million, compared with $763.2 million in the same period last year. AMC exited its fiscal third-quarter with debt of $5.325 billion and with cash and cash equivalents of $684.6 million.

 

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was surprised at this tbh

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