Shares of AMC Entertainment Holdings Inc. continued their slide Thursday, hitting another record-low close and extending their losing streak to three days.
AMC’s stock
AMC,
ended the session down 4.3% at $4.70, an all-time low. The stock has hit a series of record lows recently, reflecting the demise of the movie-theater chain’s meme-stock status.
This is a far cry from AMC’s meme-stock heyday: The stock is down more than 98% from its all-time closing high of $339.05 on June 2, 2021, according to Dow Jones Market Data, based on available data going back to Dec. 18, 2013.
Related: AMC’s stock hits another record-low close, extends losing streak to two days
The company’s shares have fallen in eight of the past nine trading sessions. The stock is also down three consecutive days, falling more than 10% over that period, according to Dow Jones Market Data.
AMC’s stock is down 89.4% in the past 52 weeks, compared with the S&P 500 index’s
SPX
gain of 20%.
Three years ago, the movie-theater chain went from a beleaguered pandemic victim to a meme-stock phenomenon. Boosted by the WallStreetBets crowd on Reddit, AMC used a steep rise in its share price to tap into equity and debt markets, raising $917 million in January 2021.
Related: This is what we can expect to see from meme stocks in 2024
Since then, AMC has taken aim at its debt burden, which was more than $5 billion in 2022. That year, AMC launched its AMC Preferred Equity Unit special dividend and in 2023 completed the conversion of the APEs into AMC common stock, along with a reverse 1-for-10 split of common stock.
In December, AMC completed its latest at-the-market equity offering, raising approximately $350 million.
In a regulatory filing last week, AMC said that between Dec. 28 and Dec. 29, 2023, the company entered into a series of privately negotiated exchange agreements to issue nearly 3.26 million shares of Class A common stock in exchange for $22.5 million of its notes due in 2026. The common stock issued had an implied value of $6.94 per share, according to AMC. “The company may engage in similar transactions in the future but is under no obligation to do so,” AMC said in the filing.
Related: AMC CEO sends Taylor Swift ‘eternal gratitude’ as Eras Tour concert film makes history
On Sunday, AMC Chief Executive Adam Aron expressed the movie-theater chain’s “eternal gratitude” to Taylor Swift after the singer-songwriter’s concert film, for which AMC served as the distributor, broke another record.
Variety reported Sunday that “Taylor Swift: The Eras Tour” has earned more than $261.6 million globally, making it the highest-grossing concert and documentary film in history, surpassing “Michael Jackson’s This Is It.”
Of seven analysts surveyed by FactSet, four have a hold rating and three have a sell rating for AMC.
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