AMC Entertainment (NYSE:AMC) Stock Price Crosses Below 200-Day Moving Average - Should You Sell?

AMC Entertainment Holdings, Inc. (NYSE:AMC) has recently seen its share price dip below its 200-day moving average, signaling some concerns among investors. On Friday during trading, the stock's 200-day moving average stood at $4.47 while it traded as low as $3.08. The last recorded price for AMC shares was $3.12, with a trading volume of 8,548,084 shares.

Analyst Opinions on AMC Entertainment

Several analysts have provided their insights on the company's stock. In a report on November 7th, B. Riley reduced their target price for AMC Entertainment from $8.00 to $6.00, giving it a "neutral" rating. StockNews.com followed suit on November 12th, changing their assessment to a "sell" rating for AMC shares. Macquarie also maintained an "underperform" rating with a target price of $4.00 in a research note published on November 13th. Benchmark reaffirmed a "hold" rating on the stock on November 7th. In total, four analysts have assigned a sell rating, while three analysts view it as a hold. The consensus rating stands at "Reduce" with a target price of $5.44, according to MarketBeat data.

AMC Entertainment's Stock Metrics

AMC has a market capitalization of approximately $1.17 billion and reports a price-to-earnings ratio of -1.93, with a beta of 1.92. The stock's fifty-day moving average is recorded at $4.05, with the previously mentioned 200-day moving average at $4.47.

Recent Earnings Reports

The company released its quarterly earnings results on November 6th, reporting an earnings per share (EPS) of ($0.04), which was better than the expected EPS of ($0.07), surpassing estimates by $0.03. During the quarter, AMC generated revenue of $1.35 billion, above the analyst expectations of $1.33 billion. Comparatively, revenue decreased by 4.1% from the same quarter last year. Analysts project that AMC will post an EPS of -1.41 for the current fiscal year.

Institutional Investors Movement

Recent adjustments by institutional investors have been notable. Amalgamated Bank increased its stake in AMC shares by 31.5% in the third quarter, owning 11,568 shares valued at $53,000 after acquiring an additional 2,771 shares. Meanwhile, Private Advisor Group LLC raised its holdings by 27.5%, holding 15,011 shares valued at $68,000 after buying 3,237 shares. Victory Capital Management Inc. also expanded its stake by 20.1%, amassing 45,711 shares worth $208,000 after acquiring an additional 7,661 shares. Waldron Private Wealth LLC boosted its position by 47.5%, creating a total of 25,173 shares valued at $115,000. A new position was also formed by KBC Group NV, acquiring shares during the same quarter worth $37,000. Overall, institutional investors hold around 28.80% of the company's stock.

About AMC Entertainment

Founded in 1920 and headquartered in Leawood, Kansas, AMC Entertainment Holdings, Inc. is involved in the theatrical exhibition sector, owning and managing cinemas across the United States and Europe.

Final Thoughts

With AMC Entertainment currently carrying a "Reduce" rating according to various analysts, potential investors may want to assess other opportunities before deciding whether to engage with AMC stock. It is essential to consider market dynamics and expert insights when making investment choices.

AMC, Stock, Earnings