NYSE:AMC finished the day higher by 4.63% alongside a broader market rally.
Lots of news in the meme stock industry as GameStop completes at-the-market offering.
AMC shareholders will need to test their diamond hands as the company looks to sell up to 25 million more shares by 2022.
NYSE:AMC had another eventful day on the markets as its legions of retail supporters showed their diamond hands through a rough stretch last week. On Tuesday, AMC had a whipsaw session that saw it lose as much as 8% in the morning before closing the day up 4.63%. There wasn’t really any specific news from the company that spurred such a drastic turnaround during intraday trading, but AMC definitely could have been a sympathy play after GameStop (NYSE:GME) made its announcement.
That announcement was that GameStop had completed an at-the-market equity offering that managed to raise $1.13 billion. The actual offering was announced back on June 9th, but GameStop has officially reported that the offering was now closed on Tuesday. This is just another step in the right direction for new Chairman of the Board, Ryan Cohen, who is drastically attempting to transform the video game retailer into an eCommerce juggernaut for the future. GameStop shares finished the day up 10.14% and closed the session at $220.40.
AMC stock forecast
On July 29th, AMC will hold its annual shareholder meeting at which point it is expected the company will request permission from its investors to sell a further 25 million shares. Unlike GameStop, AMC has diluted its shares immensely over the past year, now with over 500 million shares outstanding. AMC is trying to ride out the COVID-19 storm, and while vaccination rates and new cases are helping to reopen the U.S., movie attendance has still lagged pre-pandemic levels.
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