Opinion | ‘Meme’ Stocks Can Learn From AMC

Stock investors are free to buy for any reason they want and yet it works better for society if they buy and sell depending on whether a company appears to be cheap in relation to long-term prospects. This sends the right message to managers. It directs capital to its most highly valued uses. It makes the world safe for indexers.

So congrats to AMC Entertainment chief executive Adam Aron, who has been playing the role normally filled by short sellers. He’s been selling hand over fist that which appears to be grossly overvalued, namely his own company’s shares thanks to Reddit-dwellers who’ve bid them up in seeming defiance of any business logic.

With the stock up an improbable 2,650% since Jan. 1, AMC sold 20 million shares in two tranches in three days last week for an average price of around $41. For comparison’s sake, the Wall Street consensus stock price forecast a year from now is a bit more than $5. Mr. Aron has been loquacious and opportunistic where the management of another “meme” stock, GameStop , has been nervously reticent. With an eye obviously toward the Securities and Exchange Commission, he has been careful not to justify the current stock price. He dances around the motives of online traders who style themselves “apes,” after the rebellious simians in the “Planet of . . .

Mr. Aron has restricted his burble to the ways AMC might use their cash to reinvent itself, while leaving it to public filings to point out the obvious: The current share price reflects “market and trading dynamics unrelated to our underlying business” and investors should be prepared to lose “all or a substantial portion” of their money.

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AMC, Other Meme Stocks Turn Options Market Upside DownThe meteoric rally in meme stocks such as AMC and GameStop has unleashed a burst of options trading, upending traditional dynamics in the market for stock bets. stocks even have meme,, where this stocks got idea ? Market for stock bets is an admission that Wall Street is a casino. Pakistani Ph.D. students studying n China r stuck & can’t go back to China to continue their studies. We appeal to the Chinese govt & foreign ministry of Pakistan to save their future & solve this problem.
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Wall Street closes little changed as “meme stocks” extend rallyWall Street stocks struggled for closing gains on Tuesday as a lack of clear market catalysts kept institutional investors in a holding pattern, while retail traders kept the rally of so-called meme stocks alive.
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Wall Street set to inch higher, 'meme' stocks extend rallyU.S. stock indexes were set to open slightly higher on Wednesday, although a lack of clear catalysts kept trading slow, with investors awaiting fresh cues from inflation data this week and an upcoming Federal Reserve meeting. Stocks n shares hedge funders your very intelligent we like your tweet Technology the killer
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The New Meme Stocks: Clover Health Hits Record High—And Then Falls—As Reddit Mania IntensifiesShort interest in Clover Health is higher than AMC and GameStop combined—making it one of a few new Reddit favorites.
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