AMC’s stock rose 6.5% before the opening bell on Tuesday, leading fellow meme stocks GameStop and Bed Bath & Beyond higher.
AMC Entertainment Holdings Inc.’s stock rose 6.5% before the opening bell on Tuesday, leading fellow meme stocks GameStop Corp. and Bed Bath & Beyond Inc. higher.
GameStop’s GME, +5.91% stock rose 3.4%, while Bed Bath & Beyond BBBY, -0.27% shares climbed 3.5%.
AMC’s AMC, +8.31% stock has rallied since the company reported its 12th consecutive quarterly loss last week, sending its shares falling 7.7% last Wednesday. The movie theater chain and meme stock darling ended Monday’s session up 1.9%, outpacing the S&P 500 Index’s SPX, +0.87% decline of 0.9%.
The company’s stock has been boosted by weekend box office numbers. On Monday AMC said more than 4.9 million people went to its theaters over the Thursday-to-Sunday weekend, marking the fourth-highest attended weekend of the year. Weekend box office performance was lifted by Marvel’s “Black Panther: Wakanda Forever,” the company said.
AMC’s Preferred Equity units, or APEs APE, , were also rising before the opening bell on Tuesday, rallying 4.2%, after ending Monday’s session down 11.2%.
The APEs made their trading debut in August, sparking volatility and heralding the latest chapter in an eventful journey that took the cinema chain from a beleaguered pandemic victim to meme-stock phenomenon.
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The dividend hit an intraday low of $1.25 on Nov. 9 and an intraday high of $10.50 on Aug. 22. The APEs have fallen 76.2% since their debut.
Last week Wedbush analyst Alicia Reese said that when they were issued, the dividends gave AMC a great chance to get rid of its debt burden, but added that the company had “lost a golden opportunity.”
In September, AMC unveiled plans to sell up to 425 million additional APEs, sending the equity units toward a new low.
AMC’s stock has fallen 56.1% this year, compared with the S&P 500 Index’s decline of 17%. GameStop’s stock is down 29.8% in 2022, while Bed Bath & Beyond is down 74.4%.