- NYSE:AMC dips 0.97% as reopening stocks were hammered on Monday to start the week.
- AMC business could suffer as investors fear potential new restrictions.
- Ticket sales at theaters plunged this past weekend, after hitting pandemic highs the week before.
NYSE:AMC seems to have the deck stacked against it right now, and surging cases of the COVID-19 delta variant caused the single largest sell off since October of 2020. Shares of AMC fell 0.97% on Monday, to close the tumultuous day at $34.62. Reopening stocks took the worst of the damage as COVID-19 cases rose in all 50 states for the fourth consecutive day, the first time that has happened since spring of 2020.
Stay up to speed with hot stocks' news!
Movie theaters would be an obvious loser if any sort of new restrictions were imposed again, and AMC’s stock may not be strong enough to withstand another stretch without any movie goers buying tickets. At the beginning of the pandemic, AMC nearly filed for bankruptcy and if it weren’t for Redditors saving the business, who knows where the company would be today. Can AMC count on another retail investor rally? Or would further restrictions spell the end for the theater chain? Either way, AMC shorts may be celebrating now, after losing billions of dollars since June during the latest short squeeze.
AMC stock forecast
Just one week after Black Widow opened to pandemic record ticket sales, the numbers plunged this past weekend. Ticket sales fell by 67%, which represents the single worst second weekend at the box offices for any Marvel Universe film. A group of movie theater lobbyists are protesting Disney’s day-and-date release strategy that sees new movies launching simultaneously on its Disney+ streaming service. The group believes that the Black Widow was a prime example of how the dual release will seriously affect movie theater revenues moving forward. Shares of Disney (NYSE:DIS) also tumbled on Monday as new restrictions could lead to the closure of its theme parks once again.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD rises to two-day high ahead of Aussie CPI
The Aussie Dollar recorded back-to-back positive days against the US Dollar and climbed more than 0.59% on Tuesday, as the US April S&P PMIs were weaker than expected. That spurred speculations that the Federal Reserve could put rate cuts back on the table. The AUD/USD trades at 0.6488 as Wednesday’s Asian session begins.
EUR/USD now refocuses on the 200-day SMA
EUR/USD extended its positive momentum and rose above the 1.0700 yardstick, driven by the intense PMI-led retracement in the US Dollar as well as a prevailing risk-friendly environment in the FX universe.
Gold price cautious despite weaker US Dollar and falling US yields
Gold retreats modestly after failing to sustain gains despite fall in US Treasury yields, weaker US Dollar. XAU/USD struggles to capitalize following release of weaker-than-expected S&P Global PMIs, fueling speculation about potential Fed rate cuts.
Ethereum continues hinting at rally following reduced long liquidations
Ethereum has continued showing signs of a potential rally on Tuesday as most coins in the crypto market are also posting gains. This comes amid speculation of a potential decline following FTX ETH sales and normalizing ETH risk reversals.
Australia CPI Preview: Inflation set to remain above target as hopes of early interest-rate cuts fade
An Australian inflation update takes the spotlight this week ahead of critical United States macroeconomic data. The Australian Bureau of Statistics will release two different inflation gauges on Wednesday.