AMC Entertainment Experiences Another Drop in Stock Price Today
AMC Entertainment, the cinema chain that has become synonymous with the meme stock movement, is experiencing a stock decline, with shares trading down 6.8% at 11:34 a.m. on Thursday, marking the second consecutive day of a downward trend[4][5]. Despite this, the company's stock is still 77% above where it was before the rally began, indicating that the potential for a significant price surge, often referred to as a "mother of all short squeezes," has not been completely extinguished[1][6].
The recent stock decline follows a significant run higher that began around two weeks ago, which saw AMC's stock value more than doubling after the company announced it was buying into a gold and silver miner, Hycroft Mining[7][8]. This purchase, initiated by AMC's CEO Adam Aron, was his own idea and was aimed at applying his experience from saving AMC from bankruptcy to a stock in a presumed turnaround[9][10]. Hycroft Mining has since secured $1.8 billion in liquidity[11].
The theater chain's earnings conference calls now primarily consist of questions from shareholders, not Wall Street analysts, reflecting the increased interest among retail traders[12]. Adam Aron, the CEO of AMC Entertainment, regularly receives investment ideas from his followers on Twitter, further emphasising the shift in the company's investor base[13].
Despite the recent stock decline, AMC reported strong Q2 2025 earnings with revenue of $1.4 billion and improved attendance driven by popular movies, narrowing its loss substantially and triggering a previous stock surge[1][3][4]. The company's improving fundamentals, including better-than-expected results and increased revenue, could maintain or reignite interest among traders looking for a short squeeze, even though the stock has recently pulled back from higher levels[2].
Forecasts suggest potential price increases going forward, indicating sustained market interest[2]. However, no current sources confirm an imminent "mother of all short squeezes," just that the potential remains given the mixed signals of operational recovery and stock movement[1][2][3]. As such, while the recent stock decline has reduced near-term price momentum, AMC’s solid operational performance and still elevated short interest in the market leave open the possibility for a large short squeeze event.
References:
- CNN
- MarketWatch
- Bloomberg
- The Wall Street Journal
- Yahoo Finance
- Reuters
- CNBC
- Business Insider
- The Hollywood Reporter
- Deadline
- Hycroft Mining Press Release
- Forbes
- CNBC
- The potential for a significant price surge, often called a "mother of all short squeezes," has not been completely extinguished for AMC Entertainment, a cinema chain associated with the meme stock movement, despite its recent stock decline.
- AMC's improving fundamentals, including better-than-expected results and increased revenue, could maintain or reignite interest among traders looking for a short squeeze, even though the stock has recently pulled back from higher levels.
- The shift in AMC Entertainment's investor base is evident, as questions from shareholders now dominate its earnings conference calls instead of Wall Street analysts.
- Adam Aron, the CEO of AMC Entertainment, regularly receives investment ideas from his followers on Twitter, demonstrating the change in the company's investor base.
- Forecasts suggest potential price increases for AMC Entertainment going forward, indicating sustained market interest, although no current sources confirm an imminent "mother of all short squeezes."