tiprankstipranks
Trending News
More News >
AMC Entertainment (AMC)
NYSE:AMC
Advertisement

AMC Entertainment (AMC) AI Stock Analysis

Compare
12,543 Followers

Top Page

AMC

AMC Entertainment

(NYSE:AMC)

Rating:53Neutral
Price Target:
$3.50
▲(4.17%Upside)
The overall stock score reflects significant financial challenges that weigh heavily on AMC's outlook. However, positive signals from recent earnings guidance and corporate events indicate potential for recovery and improved financial health. Technical indicators and valuation metrics suggest caution but also highlight areas of opportunity if strategic initiatives succeed.
Positive Factors
Box Office Performance
AMC surges on box office rebound, with domestic admission growth per screen significantly exceeding prior estimates.
Market Position
AMC remains the dominant exhibitor globally, operating at scale across the U.S. and Europe with strong brand strength and premium format penetration.
Revenue Growth
AMC's box office performance has surged with nearly 37% year-over-year domestic admission growth per screen in Q2, significantly exceeding previous estimates.
Negative Factors
Advertising Market Challenges
NCMI has had a challenging start to the year with the macro environment and government pullbacks negatively impacting the ad market.
Debt Restructuring
The transaction reduces leverage, extends maturities, and improves liquidity, though it introduces near-term dilution and potential for additional share issuance tied to future conversions.
Liquidity Concerns
While liquidity remains a concern, AMC is leaning into premium formats, loyalty programs, and experiential upgrades to capture incremental value per patron.

AMC Entertainment (AMC) vs. SPDR S&P 500 ETF (SPY)

AMC Entertainment Business Overview & Revenue Model

Company DescriptionAMC Entertainment Holdings, Inc., through its subsidiaries, engages in the theatrical exhibition business. The company owns, operates, or has interests in theatres in the United States and Europe. As of March 1, 2022, it operated approximately 950 theatres and 10,600 screens. The company was founded in 1920 and is headquartered in Leawood, Kansas.
How the Company Makes MoneyAMC Entertainment generates revenue through several key streams. The primary source of income is box office ticket sales, which are influenced by the number and quality of films released. Concessions are another significant revenue stream, with the company offering a variety of snacks and drinks at its theaters. Additionally, AMC earns money through its loyalty program, AMC Stubs, generating revenue from membership fees and encouraging repeat visits. Other revenue streams include advertising and on-screen promotions, as well as renting out theaters for special events and screenings. Partnerships with film studios and distributors also play a crucial role in the company's revenue model, as they secure access to blockbuster films that drive ticket sales.

AMC Entertainment Key Performance Indicators (KPIs)

Any
Any
Total Attendance
Total Attendance
Measures the total number of moviegoers visiting AMC theaters, indicating the company’s ability to attract audiences and drive ticket sales.
Chart InsightsAMC's total attendance has shown a steady recovery from the pandemic lows, but recent quarters indicate a slowdown. Despite a challenging Q1 2025 with the lowest box office since 1996, AMC's strategic initiatives, such as expanding premium formats and enhancing guest experiences, are expected to drive future growth. The earnings call highlights a strong performance in April and May 2025, suggesting a promising outlook for the rest of the year, with AMC outperforming industry declines and achieving record revenue per patron.
Data provided by:Main Street Data

AMC Entertainment Earnings Call Summary

Earnings Call Date:May 07, 2025
(Q1-2025)
|
% Change Since: 23.99%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
Despite a challenging first quarter with the lowest box office since 1996, AMC's performance metrics, such as high revenue per patron and successful debt reduction, indicate a resilient business. The strong performance in April and May 2025 suggests a promising outlook for the rest of the year.
Q1-2025 Updates
Positive Updates
Strong Performance in April 2025
The industry-wide domestic box office in April 2025 was double that of April 2024, with a similar trend in May, indicating a strong rebound in moviegoing demand.
AMC Outperforms Box Office Decline
While the North American box office was down 12.4% year-over-year, AMC outperformed by 150 basis points, with a domestic admissions revenue decline of only 10.9%.
Record Revenue Per Patron
AMC achieved an all-time first quarter record for U.S. admissions revenue per patron and noted significant increases in food and beverage revenue per patron.
Debt Reduction Initiatives
Since 2022, AMC has lowered its principal debt and finance leases by approximately $1.1 billion and repaid about $281 million in deferred leases.
Expansion of Premium Formats
AMC plans to expand its Premium Large Format and Extra Large Format screens from over 600 to more than 1,000, enhancing the moviegoing experience.
Negative Updates
Weak First Quarter 2025 Box Office
The first quarter of 2025 saw the lowest industry-wide domestic box office since 1996, excluding COVID-impacted years.
Seasonal Working Capital Shift
AMC experienced a seasonal working capital shift from positive in Q4 to negative in Q1, amplified by a soft box office.
Company Guidance
During the AMC Entertainment Holdings Incorporated first quarter 2025 earnings webcast, CEO Adam Aron and CFO Sean Goodman provided guidance indicating a promising outlook for the remainder of 2025 and beyond, despite a challenging first quarter. The company expects the full-year 2025 industry-wide domestic box office to be at the high end of their forecasted range, predicting an increase of $500 million to $1 billion over the 2024 box office. AMC's financial performance is anticipated to improve significantly with revenue per patron up 1.6% year-over-year and 40% compared to pre-pandemic 2019, driven by a 49% increase in food and beverage revenue and a 26% increase in admissions revenue per patron. Furthermore, AMC surpassed Wall Street expectations with domestic admissions revenue per patron achieving a record $12.31, despite a 10.9% decline in domestic admissions revenue. The company also highlighted capital initiatives, including the expansion of their Premium Large Format and Extra Large Format screens from 600 to over 1,000, and a strategic Go Plan to enhance the guest experience, which includes innovative food and beverage offerings, loyalty programs, and seating upgrades. AMC expects to be free cash flow positive for the nine months ending December 31, 2025, and anticipates a robust recovery, with 2025 on pace to deliver the strongest box office since 2019.

AMC Entertainment Financial Statement Overview

Summary
AMC's financial performance is weak, characterized by persistent net losses, high leverage, and negative equity. The balance sheet shows high debt levels, and cash flow issues are evident with negative operating and free cash flows. These factors indicate significant operational and financial challenges.
Income Statement
35
Negative
AMC's income statement reflects challenges in achieving profitability. The negative net income across periods indicates persistent losses. Revenue has fluctuated, and despite some improvement in gross profit margin, the net profit margin remains negative. Additionally, EBIT and EBITDA margins are weak, highlighting operational inefficiencies.
Balance Sheet
30
Negative
AMC's balance sheet shows a concerning financial structure. The high debt-to-equity ratio, exacerbated by negative stockholders' equity, raises red flags about financial stability. Although total assets are substantial, the liabilities outweigh them, indicating potential risks in solvency and capital structure.
Cash Flow
25
Negative
The cash flow statement underscores persistent cash flow issues, with negative operating and free cash flows. The inability to generate positive cash flow from operations and reliance on financing activities highlights liquidity challenges. Free cash flow to net income ratios are negative, indicating a strained cash position.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue4.64B4.81B3.91B2.53B1.24B
Gross Profit3.09B1.15B2.63B1.78B830.90M
EBITDA412.70M383.00M-196.40M-396.90M-3.67B
Net Income-352.60M-396.60M-973.60M-1.27B-4.59B
Balance Sheet
Total Assets8.25B9.01B9.14B10.82B10.28B
Cash, Cash Equivalents and Short-Term Investments632.30M884.30M631.50M1.59B308.30M
Total Debt8.28B9.14B651.60M10.75B96.00M
Total Liabilities10.01B10.86B11.76B12.61B13.16B
Stockholders Equity-1.76B-1.85B-2.62B-1.79B-2.89B
Cash Flow
Free Cash Flow-296.30M-444.80M-848.30M-714.70M-1.30B
Operating Cash Flow-50.80M-215.20M-628.50M-614.10M-1.13B
Investing Cash Flow-242.90M-180.10M-224.00M-68.20M-154.60M
Financing Cash Flow68.40M649.30M-91.30M1.99B1.33B

AMC Entertainment Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.36
Price Trends
50DMA
3.17
Positive
100DMA
3.01
Positive
200DMA
3.51
Negative
Market Momentum
MACD
0.10
Negative
RSI
55.80
Neutral
STOCH
71.38
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMC, the sentiment is Positive. The current price of 3.36 is above the 20-day moving average (MA) of 3.16, above the 50-day MA of 3.17, and below the 200-day MA of 3.51, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 55.80 is Neutral, neither overbought nor oversold. The STOCH value of 71.38 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMC.

AMC Entertainment Risk Analysis

AMC Entertainment disclosed 30 risk factors in its most recent earnings report. AMC Entertainment reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

AMC Entertainment Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$1.56B62.6611.16%1.25%55.54%
64
Neutral
$3.50B20.0971.46%0.55%-0.80%13.07%
62
Neutral
$42.18B-1.51-12.07%2.79%2.09%-71.01%
60
Neutral
$1.63B-15.64%-5.04%-155.66%
53
Neutral
$1.50B20.03%-5.43%26.07%
47
Neutral
$1.93B168.75%-2.85%75.96%
42
Neutral
$1.93B259.47%-2.85%75.96%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AMC
AMC Entertainment
3.36
-1.78
-34.63%
CNK
Cinemark Holdings
28.99
7.80
36.81%
IMAX
IMAX
28.29
8.89
45.82%
LGF.A
Lions Gate Entertainment Class A
8.59
0.34
4.12%
LGF.B
Lions Gate Entertainment Class B
7.69
0.05
0.65%
SPHR
Sphere Entertainment
45.16
2.35
5.49%

AMC Entertainment Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
AMC Entertainment Plans Note Redemption Amid New Offering
Positive
Jul 7, 2025

On July 7, 2025, AMC Entertainment Holdings, Inc. announced its intention to fully redeem its outstanding 5.875% Senior Subordinated Notes and 10%/12% Cash/PIK Toggle Second Lien Subordinated Secured Notes, both due in 2026. This redemption is contingent upon the successful completion of a private offering of Senior Secured Notes due 2029, expected to generate at least $223 million in gross proceeds, which could enhance the company’s financial structure and market positioning.

The most recent analyst rating on (AMC) stock is a Sell with a $3.20 price target. To see the full list of analyst forecasts on AMC Entertainment stock, see the AMC Stock Forecast page.

Private Placements and FinancingLegal ProceedingsBusiness Operations and Strategy
AMC Entertainment Secures Lender Support for Debt Refinancing
Positive
Jul 2, 2025

On July 2, 2025, AMC Entertainment Holdings, Inc. announced that lenders representing over 80% of its term loans have consented to proceed with balance sheet strengthening transactions. This support allows AMC to refinance debt, convert notes, and resolve litigation, positioning the company for improved financial health and long-term shareholder value amid a recovering box office market.

The most recent analyst rating on (AMC) stock is a Sell with a $3.20 price target. To see the full list of analyst forecasts on AMC Entertainment stock, see the AMC Stock Forecast page.

Private Placements and FinancingLegal ProceedingsBusiness Operations and Strategy
AMC Entertainment Announces New Transaction Support Agreement
Positive
Jul 1, 2025

On July 1, 2025, AMC Entertainment Holdings, Inc. announced a Transaction Support Agreement with key creditor groups to strengthen its financial position. The agreement includes approximately $223.3 million in new financing to refinance 2026 debt, the conversion of at least $143 million of debt into equity, and the resolution of litigation with holders of AMC’s 7.5% Senior Secured Notes due 2029. This strategic move is aimed at fortifying AMC’s balance sheet and capitalizing on a recovering box office market, with expectations of continued growth in the industry.

The most recent analyst rating on (AMC) stock is a Sell with a $3.20 price target. To see the full list of analyst forecasts on AMC Entertainment stock, see the AMC Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 18, 2025