AMC Entertainment AMC stock market news and analysis

The company already opened two cinemas in Los Angeles today

The shares of AMC Entertainment Holdings Inc (NYSE: AMC) up 26.8% to $ 14.12 on last check after the company announced it will reopen its California locations this week, starting with two theaters in Los Angeles today. The local authorities have approved the process and at the same time limited the number of participants to 25%. Additional locations will open in the city and across the state on March 19.

On the charts, the security is back on the rise after cooling from a massive bull gap to a three-year high on Jan. 20 of $ 20.36. Stocks regained their 20-day moving average support in February and are now looking to their best day since January and their third straight gain. In the long term, AMC has a staggering 346.9% lead over the previous year.

AMC 20 days

Analysts are bearish on security and leave plenty of room for price increases and / or upgrades. Of the nine in question, six have a lukewarm “hold” rating while three say “strong sell”. Additionally, the 12-month consensus target of $ 3.44 represents a 75.9% discount from current levels.

And as sellers race to the exits, there is still a lot of pessimism to be resolved, which could propel stocks up even further. Short rates fell 47.1% over the last two reporting periods, but the 55.49 million short stocks sold still account for a whopping 106.6% of the stock’s available float.

The option pits are more optimistic, with calls being popular. This corresponds to the security’s 50-day call / put volume ratio of 2.49 on the International Securities Exchange (ISE), the Cboe Options Exchange (CBOE) and the NASDAQ OMX PHLX (PHLX), which is in the 79th percentile of its annual Bandwidth. This means that calls are answered relatively quickly than usual.

To date, 704,000 calls have exceeded the band, which is twice the intraday average and more than three times the number of puts traded. The most popular is the March 15th call, followed by the March 14th call in the same monthly series, opening positions in both places. Buyers of these options expect more upside for AMC by the end of the week, when the contracts expire.

These buyers are also lucky because AMC options are currently cheap. The Schaeffer volatility index (SVI) of the security of 192% is above 21% of all other values ​​of the past year. This means that option players are currently pricing in lower than usual volatility expectations.


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