AMC just made the Russell 1000!
This is a big milestone for growing companies, especially for the largest movie theatre chain in the world who very much deserves this.
AMC Entertainment might have come close to bankruptcy in 2020, but retail investors play a massive part in saving the company from the clutches of market manipulators.
This is a big win for AMC and AMC shareholders.
Let’s discuss what this means and what we can expect moving forward.
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AMC makes the cut
FTSE Russell published a press release acknowledging a few of the new 45 companies that will be added to the Russell 1000 index.
Amongst those companies named is AMC Entertainment.
21 out of the 45 companies are coming from the Russell 2000 Index, including AMC Entertainment.
The Russell 2000 Index is a stock market index that measures the performance of 2,000 small-cap companies.
This index is primarily used as a benchmark for measuring the performance of small-cap mutual funds.
Think of the S&P 500, which measures the top 500 companies in the U.S.
It’s simply another pool of companies, except much smaller.
So, what is the Russell 1000 Index?
The Russell 1000 Index is the stock market index that tracks the performance of the 1,000 highest-ranking stocks.
It’s the next step up from the Russell 2000 Index, an upgrade if you will.
AMC is leaving the pool of the 2,000 companies being tracked as ‘small-cap’ companies.
The Russell 1000 represents the 1,000 top companies by market capitalization in the United States.
It’s also considered to be the beginning or entry point for large-cap companies.
Why is AMC joining the Russell 1000?
AMC Entertainment managed to meet the $7.3 billion criteria to join the Russell 1000 when it reached a market cap of $7.5 billion by the cutoff date on May 6, along with other criteria.
AMC’s bullish community plays a big role in why AMC’s market cap grew substantially in 2021.
The movie theatre chain’s market cap has gone down to $6.56 billion in June, primarily due to the bleeding markets.
But AMC joining the Russell 1000 is a pretty big deal.
It puts AMC ‘fundamentally’ up there.
Benefits of AMC joining the Russell 1000 Index
One of the biggest benefits of AMC joining the Russell 1000 Index is that the company gains legitimacy and demonstrates significant recovery from the pandemic.
By joining the Russell 1000, AMC will be part of an index where 92% of the entire market capitalization of all U.S.-listed stocks is concentrated.
This could attract several more investors, increasing trading volume, and increasing community interest.
You can learn more about the AMC and ‘ape’ community here or by connecting with us on social media.
I’m interested to know what you think about AMC’s new upgrade.
Leave your thoughts in the comment section of the blog down below.
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Buy and hold!
Hey last week you mentioned RDBX as a potential squeeze and it looks like it may have squeezed the last couple days. What’s the short interest looking like after today? Is it still a play?
It’s still very high – updated daily here: https://franknez.com/list-of-momentum-stocks-short-interest-and-utilization/
OKAY FIXING TO BUY MORE SHARES!!!
And boom goes the dynamite……maybe…again.
All I keep hearing in my head is that song “time is on our side”. Yes it is! “All Hail Caesar”
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