AMC jumps 10% after the meme-stock darling says record weekend
for Top Gun sequel drove huge increase in attendance at theaters
Top Gun: Maverick" soared to the top of the box office this past weekend, smashing a 15-year record for
Memorial Day weekend — but one AMC (AMC) bear is still not changing his outlook quite yet.
"At this point, it doesn't really change our view," Macquarie analyst Chad Beynon, who maintains an underperform rating on the stock with a 12-month price target of $6 a share, told Yahoo Finance in a new interview (video above).
"We're sticking with our forecast for 2022 and 2023," the analyst added, noting how May's total box office figures lagged pre-pandemic levels by 30% with the theater chain's Q1 revenue dropping 35% compared to 2019
"Top Gun: Maverick" posted the best Memorial Day weekend domestic box office performance in history and AMC Entertainment Holdings Inc
AMC-0.49%+ as of 5/31/2022
CEO Adam Aron believes the numbers might be even higher than current estimates.
"I actually think that when Paramount releases numbers today, they'll be higher than what you've seen in the press reports," Aron said Tuesday on CNBC's "Squawk Box."
According to several reports, the movie has generated more than $156 million in the box office in just the first four days since its release. The domestic box office saw an estimated 122% increase year-over-year compared to the 2021 Memorial Day weekend
Shares of AMC Entertainment Holdings Inc. extended their recent rocket ride higher, with Tuesday’s rally fueled by the record-setting weekend performance by “Top Gun: Maverick.”
The stock AMC, -0.62% jumped 6.5% in midday trading, and have now soared 47.9% over the past four days. Just prior to the current win streak, the stock was trading at levels seen before the “meme stock” rally that had kicked off a year ago.
“The record-setting success of ‘Top Gun: Maverick’ is another example of a box office that continues to show positive signs of recovery,” AMC said in a statement.
Tom Cruise and “Top Gun: Maverick” are giving AMC and IMAX shares a lift.