Will AMC Entertainment (AMC) Ever Move Back To New High?

The stock of movie theatre operator AMC Entertainment Holdings Inc (NYSE: AMC) has been quite volatile so far this year and that was apparent last Friday as well. After having jumped by as high as 15% at the beginning of the trading session, the stock ended the day 4% in the red.

Will AMC Entertainment (AMC) Ever Move Back To New High?

That being said, the stock is still up by as high as 235% so far in 2021. In this regard, it needs to be pointed out that the company’s finances are stretched and in order to cash in on the rally, AMC had also issued more stock.

Recently, the company raised $305 million through a share offering to take the total capital raised to $917 million since December 2020. More importantly, the Chief Executive Officer of the company Adam Aron stated that after having got a cash injection of $1 billion, there is no threat to bankruptcy for AMC. However, the issuance of more stock is something that investors must be wary of.

Will AMC Entertainment (AMC) Ever Move Back To New High?

Anthony Gonzales

Biotech, Tech, and Crypto reporterAnthony Gonzales brings 3 years of experience in helping grassroots, mid-sized organizations and large institutions strengthen their management and resource generating capacities and effectively plan for the future. He is also a mentor and professional advisor to artists working in all disciplines. He is the gold medalist from St. Marco University of Science and Technology in the Bachelors of Financial Management as well.