AMC’s Stock Conversion Is Over But Strategists Predict More Dilution

On Friday, the company converted AMC Preferred Equity units, or APEs, into common shares, ending a lengthy battle after some common stockholders had tried to block the move. A day earlier, the company completed a 10-to-1 reverse stock split.

“AMC will likely do a large capital raise to improve its liquidity position,” Colpitts said. One way the company might raise money would be to sell shares at the market price over time, known as an at-the-money offering, he said. A successful equity raise could help AMC pay down debt and stabilize its finances. The movie theater operator has about $9.5 billion of short- and long-term debt on its books, and although it eked out about $8.6 million of net income in the second quarter, before then it had posted losses every period going back to the third quarter of 2019.

Wedbush upgraded its rating of AMC to neutral from underperform, with a new price target at $19 this week.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock market today: Wall Street rises as easing yields in the bond market relax the pressureNEW YORK (AP) — Wall Street is rising Wednesday as the pressure that's built on stocks recently from the bond market relaxed a bit. The S&P 500 was 1.2% higher in afternoon trading, trimming its loss for what's so far been a dismal August. The Dow Jones Industrial Average was up 203 points, or 0.6%, at 34,492, as of 2:13 p.m. Eastern time, and the Nasdaq composite rallied 1.7%. Big Tech stocks and others that benefit from easier interest rates led the way. They got some relief as the 10-year Tre
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Tech stocks rally, yields drop, ahead of Nvidia earnings: Stock market news todayStocks were higher on Wednesday afternoon with investors bracing for results from Nvidia after the bell.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

S&P/TSX composite up almost 200 points, U.S. stock markets also climb higherTORONTO — Technology stocks helped lead a broad-based rally, bringing Canada's main stock index up almost 200 points Wednesday, while U.S. stock markets also climbed. The S&P/TSX composite index was up 188.58 points at 19,879.79.
Source: SooToday - 🏆 8. / 85 Read more »

Most actively traded companies on the Toronto Stock ExchangeTORONTO — Some of the most active companies traded Wednesday on the Toronto Stock Exchange: Toronto Stock Exchange (19,879.79, up 188.58 points): Manulife Financial Corp. (TSX:MFC). Finance. Up 29 cents, or 1.22 per cent, to $24.13 on 14.
Source: SooToday - 🏆 8. / 85 Read more »

Goldman, JPMorgan, Morgan Stanley, UBS in US$499-million stock lending settlementInvestors accused them of conspiring to stifle competition in the stock lending market
Source: globeandmail - 🏆 5. / 92 Read more »