Is AMC Stock Ready for a Hollywood Ending?

Historically, it's been a bad bet to warm up to AMC Entertainment (NYSE: AMC) after a rally. Chasing shares of the leading multiplex operator higher often ends in heartbreak. It didn't work out well for speculators who chased AMC higher in 2021, when it was one of the two leading meme stocks. AMC has plummeted by a split-adjusted 99.6% -- that's not a typo -- from its frenzied peak four summers ago.You can't blame AMC for the crowdsourced bidding up of the stock in 2021, but every cruel timeline after that is largely the handiwork of AMC's own mismanagement. Rival Cinemark (NYSE: CNK) turned profitable two years ago and hasn't looked back. AMC is almost there on the bottom line, but the stock has fallen 94% over the past two years. Cinemark, on the other hand, has risen 45% in that same time. Screening experience supersizer Imax (NYSE: IMAX) has climbed 30% in those same two years.It's not movie theater stocks that are failing now that the pandemic is fading in the rearview. This is just the case for AMC, as poor management decisions that diluted shareholders and a lack of cost controls have plagued investors. AMC's blowout second-quarter this week offers an opportunity to rally, even if Monday's results amounted to a modest 3% uptick. The gains haven't lasted before, but maybe this time AMC can flip the script.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool