Analyst Jason Bazinet of Citi maintained a Sell rating on AMC Entertainment (AMC – Research Report), with a price target of $2.90.
Jason Bazinet has given his Sell rating due to a combination of factors including AMC Entertainment’s mixed financial performance and uncertain future outlook. Although AMC’s revenue and adjusted EBITDA for the fourth quarter of 2024 exceeded market expectations, the company’s admissions and concessions revenue fell short of Citi’s estimates. Additionally, the decline in U.S. attendance compared to both the previous quarter and pre-pandemic levels in 2019 raises concerns about the company’s ability to fully recover its audience.
Furthermore, despite the company’s expressed confidence in its recovery trajectory and potential growth in the industry-wide box office, the lack of formal guidance in the release adds uncertainty to its future performance. The expected share price return of -11.3% further supports the Sell rating, suggesting that the stock may underperform in the near term. These factors combined contribute to Jason Bazinet’s cautious stance on AMC’s stock.