AMC Entertainment Faces Slip in Shares After Holiday Weekend at Box Office

by Warren Seah

Shares of AMC Entertainment faced a decline following a relatively lackluster holiday weekend at the box office. One of the contributing factors to this performance was the underwhelming performance of “Wish,” the latest film from Walt Disney (DIS). According to Comscore, “Wish” ranked third in the three-day box office rankings, trailing behind “The Hunger Games: The Ballad of Songbirds & Snakes” and “Napoleon.”

Despite this setback, the overall outlook for the movie industry appears to be brighter compared to the previous year. Comscore reported that domestic box office sales during the five-day holiday weekend totaled approximately $172 million, surpassing last year’s recorded figure of $122.8 million. However, it is worth mentioning that this falls short of the record-breaking $315.6 million achieved in 2018 (previously reported).

Even with these developments, AMC (ticker: AMC) shares experienced a 0.9% decrease, settling at $6.84 on Monday. In contrast, the S&P 500 only experienced a marginal decrease of less than 0.1%. Over recent years, AMC has faced various challenges, including the impact of the pandemic and strikes from writers and actors, which have added to its volatility, especially with its meme-stock status.

While there was some success with Taylor Swift’s “The Eras Tour,” a concert movie that revolutionized the traditional cinema experience, it is evident that this alone will not suffice. Based on available data dating back to December 2013, AMC stock is down 81% this year, signaling a potential record-breaking low for the company.

For more information: Dow Jones Market Data.

You may also like

Leave a Comment