AMC Entertainment Holdings (AMC) saw its stock climb 11% (at the time of writing) after reporting strong second-quarter 2025 results that topped Wall Street expectations, despite analysts holding a cautious view with a consensus Hold rating and an average price target of $3.10.
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AMC’s Strong Showing with $1.40 Billion in Q2 Revenue
The company reported revenue of $1.40 billion, representing a 35.6% increase from the same period last year. Alongside this growth, Adjusted EBITDA surged nearly fivefold to $189 million, and free cash flow moved into positive territory at $88.9 million. At the same time, AMC narrowed its net loss to $4.7 million, compared to $32.8 million a year earlier. Management attributed these gains to a combination of factors, including a broad recovery in the global box office and the successful execution of strategic initiatives. These initiatives have focused on expanding premium format screens, enhancing food and beverage offerings, and elevating the overall theatre experience.
Furthermore, attendance grew 25.6% year-over-year, reinforcing the benefits of these efforts. Per-patron spending also reached new highs, with admissions revenue per guest rising to $12.14 and food and beverage revenue per guest climbing to $7.95. Together, these records underscore the strength of AMC’s premium offerings, which the company noted continue to outperform standard auditoriums in both occupancy rates and pricing power.
Alongside operational gains, AMC strengthened its balance sheet through refinancing moves that pushed debt maturities out to 2029 and reduced existing debt through equitization. The combination of higher revenue, stronger margins, and improved liquidity appears to have reassured investors, prompting the latest stock uptick even as analysts remain cautious on long-term valuation.
Is AMC Stock a Buy?
The overall sentiment on the Street regarding AMC is still a cautious one with a Hold consensus. However, after the company’s strong showings, we’ll see more bullish ratings from analysts. For now, the average AMC stock price target is $3.10, implying a 5.80% upside from the current price.
