AMC is one of the most prestigious theaters on the globe. By 1968, the theater network had grown on a national scale and was branded as American Multi-Cinema, Inc. (AMC). Our guide will show you how to open a brokerage account and start investing in AMC stock. Let’s review briefly their history, pros and cons, as well as the steps needed to buy AMC stock.
Quick AMC History
AMC Entertainment is the world’s biggest movie theater chain, with headquarters in Leawood, Kansas. It became the biggest movie theater company after purchasing Odeon Cinemas, UCI Cinemas, and Carmike Cinemas in 2016. Maurice, Edward, and Barney Dubinsky formed AMC Theatres in 1920. AMC and Loews Cineplex Entertainment joined on January 26, 2006 to establish AMC Entertainment. Nordic Cinema Group, the popular movie major cinema company, was sold to AMC for $929 million in January 2017.
AMC has grown from a small family business to become one of the world’s most prestigious entertainment corporations. The theater’s success was enormous, and it set the standard for the profession. AMC has maintained its leadership position in the market by concentrating on its customers and offering the highest quality film experience.
The Good and the Bad of AMC Stock
There are numerous benefits to owning shares or stock in a company. Here are some of the pros and cons of being an AMC shareholder.
Pros of Owning AMC Stock
- AMC is barely surviving and has secured more than $2 billion in funding in the last year. Over the last couple of months, Reddit users have driven the stock upwards steadily everyday.
- AMC now has around 90 percent of its cinemas in the United States officially open. As theaters reopen in key locations the corporation will continue to improve its financial position going forward.
Cons of Owning AMC Stock
- The movie industry has been hit the hardest by the epidemic, and despite reopening several of its buildings, AMC Entertainment has a difficult path looking forward.
- For the next couple years, movie theater attendance will not even approach Pre-Covid numbers. The stock of AMC and movie theaters in general did not perform as well in 2020, and as of now the near future does not look favorable.
- People have grown accustomed to watching their favorite films from the comfort of their own homes, and the industry is dealing with intense pressure from streaming sites.
Outlook for AMC Stock
AMC has spent a lot of money in the last year to keep the power on in the theaters. The movie theater chain still has a chance to gain some much-needed traction this year. The stock of AMC Theaters has skyrocketed in the last six months as the Reddit community has flocked to the movie company.
The epidemic had a toll on AMC, which is still restricting attendance at its cinemas. AMC also repaid roughly $335 million in debt throughout the first quarter of 2021, which concluded on March 31, 2021. The company made $148.30 million in sales for the quarter, which was down 84.2 percent, and AMC Entertainment earned ($16.15) per share over the previous year.
Steps to Buy AMC Stock
To purchase AMC stock, you must first open a brokerage account, then a trading account, deposit money, and then begin purchasing shares.
Step 1: Select Your Preferred Brokerage
You must first locate a brokerage in order to purchase AMC stock. There are also many trading apps which are available to investors that offer a variety of different features.
Step 2: Open Your Trading Account
After you’ve decided on the best brokerage for you, you’ll need to open an account with them. This account is only available through the internet, and it helps you to keep track of your portfolio’s stocks.
Step 3: Deposit Your Funds Into the Account
After you’ve linked a payment option to your account, you’ll be able to deposit funds to purchase AMC stock. The next move is to figure out how many AMC stock shares you’d like to buy.
Step 4: Search for the AMC Ticker Symbol (AMC)
A ticker symbol is used to label a publicly traded stock on the exchange. AMC is publicly traded on the New York Stock Exchange under the ticker symbol “AMC.”
Step 5: Purchase AMC Stock
In order to purchase AMC stock you would have to then:
- Choose an action type
- Enter the number of shares you wish to buy
- Simply press the buy button
Is AMC Stock a Good Buy?
As one of the biggest movie theater chains, AMC has been hit very hard by the pandemic. AMC’s stock has been in steady decline since 2019, until recently. The company’s stock has gotten a boost from the reddit community trying to battle the hedge funds who have taken short positions on their stock.
This is a stock that investors, and more so speculators, should be careful when considering investing. If you need any guidance on whether this is a good choice for you, consult with a trusted financial advisor today.