AMC Entertainment (NYSE:AMC) Shares Gap Up – Should You Buy?

AMC Entertainment Holdings, Inc. (NYSE:AMC)’s share price gapped up prior to trading on Monday . The stock had previously closed at $2.82, but opened at $2.96. AMC Entertainment shares last traded at $2.8850, with a volume of 19,118,180 shares changing hands.

Wall Street Analysts Forecast Growth

AMC has been the topic of a number of research analyst reports. Needham & Company LLC set a $3.50 target price on AMC Entertainment in a research report on Tuesday, July 21st. Benchmark reiterated a “buy” rating and issued a $3.00 price objective (up from $2.50) on shares of AMC Entertainment in a report on Tuesday, July 21st. Roth Capital set a $1.50 target price on AMC Entertainment in a research note on Tuesday, May 19th. B. Riley Financial restated a “neutral” rating and set a $2.50 target price (up from $2.25) on shares of AMC Entertainment in a report on Wednesday, July 22nd. Finally, Zacks Research raised AMC Entertainment from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 20th. Two investment analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $2.53.

AMC Entertainment Price Performance

The company’s 50 day simple moving average is $2.11 and its 200 day simple moving average is $1.62. The firm has a market cap of $2.54 billion, a price-to-earnings ratio of -2.66 and a beta of 2.06.

AMC Entertainment (NYSE:AMC) last announced its quarterly earnings data on Monday, July 20th. The company reported $0.14 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.03) by $0.17. The company had revenue of $1.60 billion during the quarter, compared to analyst estimates of $1.50 billion. As a group, analysts forecast that AMC Entertainment Holdings, Inc. will post -0.2 earnings per share for the current year.

Insider Transactions at AMC Entertainment

In related news, CEO Adam M. Aron acquired 250,000 shares of the firm’s stock in a transaction dated Tuesday, May 19th. The stock was acquired at an average price of $1.38 per share, for a total transaction of $345,000.00. Following the purchase, the chief executive officer owned 2,437,020 shares of the company’s stock, valued at $3,363,087.60. This represents a 11.43% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.43% of the stock is owned by corporate insiders.

Institutional Trading of AMC Entertainment

Hedge funds have recently added to or reduced their stakes in the company. Triumph Capital Management grew its holdings in AMC Entertainment by 139.0% during the 4th quarter. Triumph Capital Management now owns 19,000 shares of the company’s stock worth $30,000 after acquiring an additional 11,050 shares in the last quarter. Royal Bank of Canada raised its holdings in shares of AMC Entertainment by 90.7% in the 1st quarter. Royal Bank of Canada now owns 33,657 shares of the company’s stock valued at $33,000 after purchasing an additional 16,011 shares in the last quarter. Pitcairn Co. acquired a new stake in shares of AMC Entertainment in the 2nd quarter valued at $34,000. Powell Investment Advisors LLC purchased a new stake in shares of AMC Entertainment during the 4th quarter worth $39,000. Finally, Corient Private Wealth LLC purchased a new stake in shares of AMC Entertainment during the 4th quarter worth $41,000. Institutional investors and hedge funds own 28.80% of the company’s stock.

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.