AMC Entertainment (AMC) AI Stock Analysis

• Market Cap: $933.56M
• Dividend Yield: N/A
• Average Volume (3M): 18.24M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.80
• Revenue Growth: 9.74%
• EPS Growth: 12.29%
• Country: US
• Employees: 2,915
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.58
• Shares Outstanding: 512,943,540
• 10 Day Avg. Volume: 18,578,310
• 30 Day Avg. Volume: 18,238,465
• PEG Ratio: 0.08
• Price to Book (P/B): -0.75
• Price to Sales (P/S): 0.29
• P/FCF Ratio: -4.47
• Enterprise Value/Market Cap: 9.93
• Enterprise Value/Revenue: 1.90
• Enterprise Value/Gross Profit: 3.43
• Enterprise Value/Ebitda: 49.40
• 1Y Price Target: $2.65
• Price Target Upside: 48.88% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): -1.06
• Revenue Forecast (FY): $4.99B

• Rating: 47 Neutral
• Price Target: $2.50 ▲(40.45% Upside)

AMC's overall stock score is primarily impacted by its poor financial performance, characterized by negative profitability and high leverage. While the earnings call provided some positive insights with optimistic guidance and strategic initiatives, the technical analysis and valuation remain weak, reflecting ongoing challenges in the entertainment industry.

Positive Factors

Market Share Increase

An increased market share indicates AMC's competitive strength and ability to attract more patrons, which can lead to sustained revenue growth and improved profitability over time.

Successful Capital Transactions

Refinancing and debt equitization improve AMC's financial stability by reducing near-term debt obligations, enhancing cash flow management, and supporting long-term strategic investments.

Expansion of Premium Formats

Expanding premium formats can attract higher spending patrons, boost revenue per customer, and strengthen AMC's competitive position in the cinema industry.

Negative Factors

High Leverage and Negative Equity

High leverage and negative equity pose risks to financial stability, limiting AMC's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Negative Cash Flow

Negative cash flow indicates operational challenges and limits AMC's ability to fund new projects or reduce debt, impacting long-term financial health and strategic flexibility.

Industry Box Office Decline

A declining box office trend can reduce AMC's ticket sales and revenue, challenging its ability to maintain profitability and necessitating strategic adjustments to mitigate impact.

AMC Entertainment Business Overview & Revenue Model

Company Description

AMC Entertainment Holdings, Inc. is one of the largest movie exhibition companies in the world, headquartered in Leawood, Kansas. The company operates a vast network of theaters across the United States and internationally, offering a wide array of cinematic experiences, including traditional film screenings, IMAX, and other premium formats. AMC is known for its focus on enhancing customer experience through innovations such as recliner seating and advanced concession offerings.

How the Company Makes Money

AMC generates revenue primarily through ticket sales, which account for a significant portion of its income. In addition to box office revenue, the company earns substantial profits from concessions, including popcorn, beverages, and other snacks. Membership programs, such as AMC Stubs, provide additional recurring revenue through subscription fees and loyalty incentives. The company also benefits from partnerships with film studios for exclusive screenings and promotional events, further enhancing its revenue streams. Seasonal events and special screenings contribute to its earnings, while advertising within theaters adds another layer to its income.

AMC Entertainment Financial Statement Overview

Summary

AMC's financial performance is severely challenged, with negative profitability, high leverage, and cash flow issues. The income statement shows declining revenues and negative net profit margins. The balance sheet is highly leveraged with negative equity, and cash flows are negative, indicating financial distress.

Income Statement

AMC's income statement reflects significant challenges, with consistent negative net profit margins and declining revenue growth. The TTM data shows a gross profit margin of 66.42%, indicating some operational efficiency, but the net profit margin is negative at -7.39%, highlighting ongoing profitability issues. Revenue growth has been negative, with a sharp decline of 98.9% in the TTM period, indicating severe revenue contraction. EBIT and EBITDA margins are also weak, with EBIT being negative, suggesting operational difficulties.

Balance Sheet

AMC's balance sheet reveals a highly leveraged position with a negative stockholders' equity, resulting in a concerning debt-to-equity ratio of -4.80 in the TTM period. The return on equity is positive at 21.02%, but this is due to the negative equity base, which distorts the ratio. The equity ratio is negative, indicating that liabilities exceed assets, posing a risk to financial stability.

Cash Flow

The cash flow statement shows negative operating and free cash flows, with a free cash flow growth rate of -362.3% in the TTM period, indicating worsening cash generation. The operating cash flow to net income ratio is negative, reflecting cash flow challenges. The free cash flow to net income ratio is high at 5.15, but this is due to the negative net income, which skews the ratio.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.87B	4.64B	4.81B	3.91B	2.53B	1.24B
Gross Profit	2.70B	3.09B	3.21B	2.63B	1.78B	830.90M
EBITDA	187.60M	412.70M	383.00M	-196.40M	-396.90M	-3.67B
Net Income	-640.60M	-352.60M	-396.60M	-973.60M	-1.27B	-4.59B
Balance Sheet
Total Assets	8.02B	8.25B	9.01B	9.14B	10.82B	10.28B
Cash, Cash Equivalents and Short-Term Investments	416.90M	632.30M	884.30M	631.50M	1.59B	308.30M
Total Debt	8.20B	8.28B	9.14B	10.02B	10.75B	11.38B
Total Liabilities	9.80B	10.01B	10.86B	11.76B	12.61B	13.13B
Stockholders Equity	-1.78B	-1.76B	-1.85B	-2.62B	-1.79B	-2.89B
Cash Flow
Free Cash Flow	-295.30M	-296.30M	-444.80M	-848.30M	-714.70M	-1.30B
Operating Cash Flow	-42.90M	-50.80M	-215.20M	-628.50M	-614.10M	-1.13B
Investing Cash Flow	-252.80M	-242.90M	-180.10M	-224.00M	-68.20M	-154.60M
Financing Cash Flow	130.60M	68.40M	649.30M	-91.30M	1.99B	1.33B

AMC Entertainment Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.78
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMC, the sentiment is Negative. The current price of 1.78 is below the 20-day moving average (MA) of 2.18, below the 50-day MA of 2.43, and below the 200-day MA of 2.84, indicating a bearish trend. The MACD of -0.15 indicates Positive momentum. The RSI at 24.46 is Positive, neither overbought nor oversold. The STOCH value of 1.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AMC.

AMC Entertainment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMAX	76 Outperform	$2.01B	52.40	12.38%	―	9.30%	67.19%
MSGE	64 Neutral	$2.44B	74.07	―	―	0.68%	-80.73%
MCS	63 Neutral	$470.64M	66.72	1.68%	1.91%	6.28%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
CNK	58 Neutral	$2.76B	22.85	32.60%	1.40%	9.70%	-31.62%
PLAY	52 Neutral	$642.97M	―	0.17%	―	-4.07%	-100.72%
AMC	47 Neutral	$933.56M	-1.26	―	―	9.74%	12.29%

AMC Entertainment Corporate Events

AMC Entertainment Stockholders Approve Share Increase Amendment

At the 2025 Annual Meeting of Stockholders on December 10, 2025, AMC Entertainment‘s stockholders approved an amendment to double the authorized shares of Class A common stock to 1.1 billion, while removing references to Class B stock and prior stock reclassifications. Despite strong support for several governance amendments, such as declassifying the board and allowing stockholder actions by written consent, these proposals did not pass due to the requirement for a majority of outstanding shares. The election of directors, ratification of the independent auditor, and approval of executive compensation were successful, indicating a mixed outcome for the company’s governance restructuring efforts.

AMC Entertainment Board Member Kathleen Pawlus Retires

On October 1, 2025, Kathleen M. Pawlus announced her decision to retire from the Board of Directors of AMC Entertainment Holdings, Inc. and will not stand for reelection at the company’s Annual Meeting on December 10, 2025. Her departure, due to personal reasons, will reduce the board’s size from eleven to ten members, and the company expressed appreciation for her service since 2014.

AMC Entertainment Cancels $39.9 Million Debt

On October 1, 2025, AMC Entertainment Holdings, Inc. announced the cancellation of $39.9 million of its Senior Secured Exchangeable Notes due 2030, as part of a refinancing transaction completed in July 2025. This move, which did not involve issuing new shares or using cash, is part of AMC’s strategy to strengthen its balance sheet amid a recovering box office, with the total debt reduction reaching $183 million. The company is committed to further enhancing its financial position as the box office recovery continues.