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AMC Entertainment (AMC) Dips More Than Broader Markets: What You Should Know

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AMC Entertainment (AMC - Free Report) closed the most recent trading day at $10.03, moving -1.67% from the previous trading session. This change lagged the S&P 500's daily loss of 0.72%.

Prior to today's trading, shares of the movie theater operator had gained 8.97% over the past month. This has outpaced the Consumer Discretionary sector's gain of 1.84% and the S&P 500's gain of 6.13% in that time.

Investors will be hoping for strength from AMC as it approaches its next earnings release, which is expected to be May 6, 2021. On that day, AMC is projected to report earnings of -$1.15 per share, which would represent year-over-year growth of 48.2%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $153.03 million, down 83.75% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$2.79 per share and revenue of $2.47 billion. These totals would mark changes of +82.72% and +98.71%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for AMC. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.62% lower. AMC currently has a Zacks Rank of #3 (Hold).

The Leisure and Recreation Services industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow AMC in the coming trading sessions, be sure to utilize Zacks.com.


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