Tag: AMC Squeeze (Page 1 of 2)

Will AMC Stock Go Up? [2022 Deep Dive]

Will AMC stock go up?
Will Ah9 stock surge again?

AMC has been trending downwards since its rise up to $72 per share and now retail investors are wondering, will AMC stock go up?

In a recent article I break down 3 BIG factors that have influenced AMC’s downward trajectory in the past few months.

Although AMC’s share price has been plummeting, the demand for the stock has not.

This key point is going to play a big role in what happens to AMC stock after this bear market is over.

franknez.com

Welcome to Franknez.com – today I want to lay a few key points you should take into consideration if you’re holding AMC stock or thinking of buying it.

Let’s get started!

AMC stock had an incredible year in 2021.

The stock reached an all-time high of $72 per share with only 21% short interest at the time.

Once the share price began to come down, AMC’s short interest had come down to 14%.

Well, AMC’s short interest is back up to 20% again meaning short sellers have not learned their lesson.

Another key point I’m going to discuss below.

Can AMC’s share price still surge?

Can AMC's share price still go up?

As we start the new year, AMC’s average daily volume is incredibly high.

AMC has an average volume of almost 43 million with many days surpassing this amount.

It’s more than 15 times that of GameStop’s current volume.

So why isn’t AMC’s massive demand reflecting in the share price?

That’s the question the ‘ape community’ has been asking regulators all year 2021.

Too many eyes are on regulators right now and at some point, some suppression inflicted by hedge funds will have to subside.

And aside from Omicron and Covid news affecting the entire market, AMC’s massive volume will eventually push the stock price up during a correction.

What does this mean for retail investors?

If you’re looking to get in on AMC for a short squeeze, know the risks, but understand that once this stock takes off you will not be able to buy it at these prices again.

Deflating the short interest

AMC Short Interest

Deflating AMC’s short interest like we saw back in January and June means AMC stock will go up significantly higher from its current share price.

Small short covering allowed AMC to reach $72 per share back in June of 2021.

So why can AMC stock still skyrocket?

Despite the heavy buying volume from retail, AMC still has more than enough short interest percentage to squeeze shorts from their positions.

2022 is only the sequel to 2021’s runup.

The reason mainstream media doesn’t want you to know this is because of their ties to hedge funds and private financial institutions.

These institutions are ‘short’ on AMC and GameStop, meaning they’re betting against them.

Pushing propaganda that will feed their narrative is the safest way for hedge funds to derail retail from further buying the stock that could cause them to default.

Hedge funds such as Melvin Capital, Anchorage Capital, Mudrick, & Archegos are out of the game.

Citadel Securities on the other hand continues to be short on AMC stock and seems to be having a hard time weathering this retail storm.

This is why mainstream media will not touch topic on the short interest data that could squeeze shorts from their positions.

AMC Entertainment fundamentals

AMC Entertainment fundamentals

A short squeeze play has nothing to do with AMC Entertainment’s fundamentals.

The reason being is that retail goes based off of how much shorting there is in the company stock.

Buying the stock en masse (big volume) will cause AMC stock to go up, forcing shorts to close their positions and buy back their shares; triggering a short squeeze.

A short squeeze play does not depend on the performance of the company as a business.

AMC’s fundamentals are not the greatest, the company does have a lot of debt.

However, something mainstream media is not discussing is just how much their debt has gone down each quarter since 2021.

AMC Entertainment’s fundamentals are a discussion I will be touching topic on another blog post very soon so be sure to join the newsletter.

And although AMC still has quite aways to clear their debt, the company has become one of the first to lead crypto innovation and accept payment in cryptocurrencies.

Tesla has now followed by accepting cryptocurrency as a form of payment on their merchandise too.

Debt is the only thing holding AMC Entertainment from being a fundamental buy in the eyes of most in the industry.

AMC Entertainment partnerships

Partnerships

AMC partnered with Chance the Rapper last year for his concert movie release.

CEO Adam Aron announced that they would be working on partnering up with industry leaders for licensing agreements that would allow AMC to provide more of these experiences to their audiences around the world.

Another successful showing was the UFC fight they held in theatres.

The CEO also expressed his optimism surrounding showing highly anticipated sports events in theatres, granted licensing of course.

Retail investors have been specifically waiting for an AMC-GameStop partnership.

A topic Adam Aron teased could be in the works at some point.

AMC theatres released “GameStop: Rise of the Players” on January 28th, earlier this year.

One thing you cannot deny is the community strength and company relationship to its shareholders.

It’s never been seen before.

Do you own AMC stock?

Leave a comment below.

So, will AMC stock go up again?

franknez.com

Based on trader sentiment, community sentiment, and continuous innovation from the company, AMC stock will surge again.

This bear market won’t last forever.

And although the entire market is rather shaky at the moment, there will be a correction.

Hedge funds might have leverage to short the stock, but the people aren’t leaving.

AMC Entertainment will have to focus on growth and revenue if they are to get out of debt in the future.

You can read AMC’s Q1 highlights for 2022 here.

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Executive Order 14032 Could Be a Big Deal for AMC Stock

Executive Order 14032
Executive Order 14032 explained

Biden’s executive order 14032 replaced Trump’s executive order 13959 last year.

Executive order 13959 prohibited financial institutions to use Chinese securities as collateral, momentarily.

This propped up margin calls because of the large exposure our financial institutions have to Chinese securities.

When these securities were no longer accepted as collateral on January 27th, 2021, AMC stock surged.

The order was shortly amended (moved) to May 27th, 2021, where AMC stock had its second surge, reaching an all-time high of $72 per share only a few days after.

Biden then shortly passed executive order 14032 which gave institutions their collateral back for 365 days on June 2nd, 2021.

Well, those 365 days are coming to an end, and it seems June of 2022 could be a big month for AMC stock.

Let’s discuss it.

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No dates, only info

Executive order 14032 - executive order 13959

I’d like to make clear that the information provided in this article is merely only information backed by real government documents and data.

This excerpt is not to confirm a specific date where we can anticipate AMC stock to move up in price action, but rather acknowledge what’s happened in the past that could very well occur today.

Executive order 13959

Redditors were wondering whether there was a document that confirmed the replacement of executive order 13959.

And here it is – the order was replaced by executive order 14032.

One of the biggest differences between these two orders is that the previous executive order affected a total of 30 securities.

Executive order 14032 will affect more than 70 securities.

You can view the list of companies here.

Executive order 14032 is to go into effect on Friday June 3rd, 2022.

Will executive order 14032 trigger a short squeeze?

Given the nature of the rule, executive order 14032 will prohibit institutions to use Chinese securities as collateral, which will result in large margin calls.

When executive order 13959 disarmed institutions with this collateral in January of 2021, AMC surged to $20+ per share.

The order was amended as stocks surged resulting in sharp declines, giving institutions this collateral back.

The amended date moved to late May, where we saw AMC reach an all-time high of $72 per share.

Institutions were then given their collateral back on June 2nd for a period of 365 calendar days.

This collateral will no longer serve institutions on June 3rd until the order is amended again.

The expiration date in early June leads us to conclude we will see major short covering in heavily shorted securities such as AMC stock.

And because the list of Chinese securities being affected has increased, this means the amount of collateral that will be removed has also drastically increased.

If history repeats itself, this next surge will be massive.

That’s not even taking into consideration the next amended date.

Will this executive order lead to MOASS?

I’ve mentioned in previous articles I don’t think institutions will be held accountable for synthetics, but I hope I’m wrong.

One thing I do know is retail investors will need to keep an eye out on AMC’s short interest data to identify whether short sellers are calling it quits or sticking around longer.

No matter how high AMC’s price surges, the short interest data essentially provides investors with insight on how much fuel is left in a short squeeze play.

When AMC rose to $72 per share, the short interest had dropped to 16% from 20%.

AMC’s current short interest is 21.57%.

We’ve also seen that AMC short sellers have hit a record high number of shares on loan.

This means they owe more shares today, than they did AMC surged to $20 and $72 per share.

A third runup will be huge for AMC stock.

Only time will tell whether executive order 14032 is the catalyst or not.

Related: Are Institutions Preparing to Close Short Positions in AMC?

AMC is going to reach a new ATH

I believe AMC is going to reach a new all-time high from its previous record high of $72 per share.

Simply because the data is there.

The data that told us AMC was going to $20, then $72, and now even higher, is still there.

It’s just taking longer than traders would like.

But despite how long it takes, you can’t change the data.

You can’t change the fact that short sellers now owe lenders more than ever before.

And at some point, these lenders will need their money back.

Executive order 14032 seems like a highly likely trigger for AMC stock.

I’d love to hear your thoughts on the matter.

Leave a comment below for the community to see.

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Related: Will AMC Entertainment Stock Reach a New ATH This Year

Is A Strong AMC Rebound on The Horizon Yet?

AMC Rebound
How soon until we see an AMC rebound?

When will AMC rebound?

Later this month will mark the first-year anniversary of AMC’s all-time high of $72 per share.

The stock has been on a steady decline since it reached this ATH despite more investors coming in to buy the stock.

Approximately 80% of AMC’s float was owned retail investors during the surge.

Now more than 90% of retail investors own the float.

But a bear market knows no upside, no good news, or heavy buying pressure.

So, how close is AMC to a rebound?

Let’s discuss it.

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Welcome to Franknez.com – if you haven’t joined the newsletter, be sure to do that below. I’m publishing market news and updates daily.

Let’s dive right into it!

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Is AMC doomed?

AMC just announced an incredible Q1 earnings call for 2022 where the company raised more than $1.4 billion in liquidity.

The movie theatre chain seated 39 million guests in Q1 and earned $785.7 million in revenue.

CEO and President Adam Aron reported AMC had its best Q1 in two years.

Not to mention, the company was able to repay $45 million of deferred rent reducing their balance to approximately $272 million.

They plan to reduce the deferred rent by another $125 million by the end of the year.

So, is AMC doomed?

Absolutely not.

See, a bear market doesn’t take any of this into consideration.

If the suits need the markets to be on a downtrend, they’ll be on a downtrend, momentarily that is.

So, if we’re going to play their game, we’ll just have to sit tight until we begin to see a reversal again.

Can Adam Aron do anything about what’s happening to AMC stock?

Adam Aron AMC Stock

Unfortunately, Adam Aron and any other CEO doesn’t have any power over how the stock of a company moves.

I’ve always pictured nerds behind the scenes looking at the boss for confirmation on whether they should move a stock down or up based on business or economic news.

Jokes aside, all Adam Aron can do is focus on AMC’s fundamentals to hopefully convince these ‘bosses’ the stock is not worth shorting to the earth’s core anymore.

Notice how he always addresses the suits in every earnings call, it’s for a good reason.

And finally, we’ve seen a little bit of praise on AMC’s Q1 earnings this year, but it’s not enough.

There’s an older generation of folk running our system that cannot see what ‘apes’ or Adam Aron see yet.

All this means is it’s going to take time.

Related: AMC Dominates with Powerful Q1 Results: Highlights

Are you holding unrealized losses?

If you’re holding unrealized losses, you’re going to have to make a decision for yourself.

Will you sell scared during a bear market?

Shoutout to Dany on Instagram when he said, ‘scared money don’t make no money’.

Or will you weather this market and wait for AMC to rebound?

Because stocks don’t go down forever, they eventually bounce back.

AMC shareholders are here to make a big trade, right?

So, wait, and make a big trade.

Or cash out and get back in when AMC begins to surge again because it will.

It’s your choice.

Related: Are You Holding Significant Losses in AMC Stock?

How close is AMC to a rebound?

The entire market is having a challenging time finding a bottom.

This leads me to believe AMC is not done downtrending, but oh boy would I love to be wrong here.

SPY stock (S&P 500), which tracks the top 500 companies in the U.S. can’t seem to find the brakes either as it continues to pull the entire market downhill.

There are currently no signs of resistance levels in the market.

And for this reason, AMC might not be close to seeing a rebound so soon.

But it doesn’t mean AMC won’t rebound at all – the entire market will eventually go through a reversal where stocks will begin to trend upwards again.

How long will this take?

Only time will tell.

What you can do in the meantime is plan, strategize, and execute.

Focus on your financial goals, your income goals, your family goals.

Despite this dreadful bear market, learn to make every day a great day.

And if you aren’t earning money trading options yet, I actually teach you how to do it here so you can hedge against your unrealized losses in the interim.

You can follow me on: Twitter | Facebook | LinkedIn

Read: How To Trade Options in the Market With a 9-5

Here’s Why It’s Taking AMC So Long to Skyrocket

What's taking AMC so long to squeeze?
What’s taking AMC so long to squeeze? When will AMC skyrocket?

Wasn’t AMC supposed to skyrocket during an economic downturn?

AMC’s negative beta is -45.9% after all.

So, why isn’t AMC stock outperforming the market?

AMC is up more than 61% in the past year but down more than 45% this year.

Apes are wondering, what’s taking AMC so long to skyrocket?

Let’s discuss it.

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Welcome to Franknez.com – if you haven’t joined the newsletter, be sure to do that below. I’m publishing market news and updates daily.

Let’s dive right into it!

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Liquidity in the markets has dried up

Money isn’t circulating in the markets like it was last year.

Financial institutions are liquidating positions left and right to keep up with increased margin requirements.

Massive selloffs are causing the markets to bleed heavily.

The DTCC just published B16845-22 which raises margin requirements by 25% for companies trading above $10.

For prices between $7.50-$9.99 per share, margin requirements will increase by 30%.

There will be a 50% margin increase on stock prices between $5.00-$7.49, and a 100% increase on stocks with prices below $5 per share.

This puts more strain on the market as financial institutions struggle to meet margin demands.

Hedge funds have been facing losses all year and even begun shutting down, as seen with Melvin Capital.

Institutions could be liquidating several stocks to keep their short positions open in heavily short stock such as AMC or GME stock – which explains why shorts have not closed their positions.

But how long will they allow themselves to be stretched before taking the entire markets down?

Related: Hedge Fund Melvin Capital Is Shutting Down in June

Institutions continue to short AMC stock

Today marks the third day in a row institutions have borrowed less than one million shares to short AMC, via Stonk-O-Tracker.

Short sellers were borrowing millions every day to short AMC stock prior to the sudden decrease.

But why has this recently gone down?

AMC’s short interest is still relatively high at 19%.

Is it possible institutions are finally being capped for borrowing shares that aren’t available in the market?

I’d love to hear your thoughts on this.

AMC currently has more than 133 million shares on loan – or shares on loan that have yet to be returned or bought back.

AMC’s shares on loan have been the highest they’ve ever been.

For those who thought AMC’s short squeeze was done, simply look at the data.

Short sellers have to close their positions eventually and either take profits, break even, or cut their losses.

AMC will rally up as short sellers close these positions.

Will shorts close positions in this bear market?

when will amc skyrocket

It would be in the short sellers’ best interest to close positions before the market goes through a reversal.

AMC has shown a strong level of resistance in the $14-$15 range.

Short sellers didn’t close their positions at $5 per share and let the floor go up instead.

So, although AMC has taken quite some time to move up again, the chances of a short squeeze has also increased due to the current market conditions.

The question is how much more will financial institutions bring down the markets before closing short positions in heavily shorted stock such as AMC.

Will they prolong the process and leave their hand in the fire?

I’d love to hear your thoughts on this.

If they don’t use these all-time lows to close their positions now, bull rallies during a reversal will do a lot of harm to pockets later.

Related: Will AMC Entertainment Stock Reach a New ATH This Year?
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Can AMC Stock Make You a Multi-Millionaire?

Can AMC stock make you a multi-millionaire?
More and more investors continue to buy AMC stock – AMC Lambo

Investors from all over the world bought AMC stock last year to enter a life-changing play.

This life-changing play would occur in the event of an AMC short squeeze, or MOASS (mother of all short squeezes).

The number of retail investors who own AMC’s float increased from 3 million in 2021 to a whopping 4 million in 2022.

So, why do investors continue to buy this so called ‘meme stock’?

Let’s discuss it.

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Welcome to Franknez.com – if you haven’t joined the newsletter, be sure to do that below. I’m publishing market news and updates daily.

Let’s dive right into it!

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How high did AMC stock go last year?

AMC reached an all-time high (ATH) of $72 per share in late May of 2021.

Retail investors were able to drive the stock price up more than 3000% from mere trading volume and momentum.

The volume during the runup went as high as 700m-900m per day as FOMO (fear of missing out) kicked in from investors who neglected the data earlier that year.

While mainstream media was telling the public to avoid buying the stock, Franknez.com was the only news blog advising people of the opportunity that lied ahead.

Hedge funds betting against AMC lost billions in the process and continue to short the stock to this day in hopes to recuperate some losses.

What allowed us to see this massive surge months before it happened?

When AMC reached an ATH of $20 per share in January, the retail community noticed that AMC’s short interest was still high, meaning not every short seller had been squeezed from their position.

After several months of buying and hold the stock, AMC shareholders managed to squeeze only 4% of shorts from the total 20% short interest being reported at that time.

AMC’s short interest dropped to 16% when it skyrocketed to $72 per share and is currently sitting at 20% today.

How much money would you need to have invested in AMC to make $1 million?

AMC when lambo? Can AMC moon?

If you got in around $2 per share before AMC climbed to $72, you would have needed to invest roughly $14,285.71 in AMC stock to have made only $1 million.

Investing $50,000 at the same entry price would have made you $3.5 million if you cashed in at the all-time high of $72 per share.

But did you know that many ‘ape’ investors didn’t take profits and continue to hold the stock?

Well, why’s that?

The answer is simple, the short interest percentage continues to be extremely high and hedge funds have borrowed twice as much more shares to short the stock since AMC’s runup to $72 per share.

This means AMC’s third runup potential is even more massive than the first and second of last year.

Why is mainstream media trying to scare you from your money?

Because the owners of these corporations are betting against these stocks and don’t want to suffer more significant losses.

In the video below, I go over the short interest data that shows us why AMC’s next price runup is going to be larger than the one in January and May/June of 2021.

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AMC price prediction 2022

AMC when lambo? Can AMC moon?

I project AMC’s next major price runup will range between $140-$250 based on a 4%-6% short interest drop.

And this is only with very small short covering.

AMC’s share price could squeeze much higher depending on how many shorts actually close their positions.

I update AMC’s short interest data straight from Ortex daily here.

How soon will this happen?

In the video above I go over the patterns shareholders will need to keep an eye out on.

We are currently in a bear market so short sellers have an advantage in today’s market.

However, as soon as the market begins to transition towards a more bullish market, momentum and high buying pressure will begin to move AMC’s share price up again.

Here we’ll see more incentive for shorts to close their positions as the market sentiment in general begins to move upwards again.

We were in a bull market when AMC’s price surge occurred last year.

The SPY had even reached an all-time high.

Today the SPY (S&P 500) is down -8.36% on the year-to-date chart.

Is AMC stock a buy in 2022?

is AMC stock a buy in 2022
Can AMC moon?

AMC’s float is now owned by 90% of retail investors; up 10% from the end of last year.

Retail investors buying the stock are discovering the short interest data that points towards a much larger price runup in AMC stock.

The question is, will you miss this third runup?

Although shareholders continue to hold the stock, investors anticipate due to the incredible amount of shares loaned that need to be purchased back, AMC stock can go as high as $1,000 per share or more.

While this figure might throw you off balance for a second, if regulators hold hedge funds accountable for the large sums of naked shares in the market, then this figure is certainly possible.

Whether regulators enforce this action or not is another thing.

But one thing looks certain.

Based on AMC’s short interest data, this ‘meme’ stock is not done moving.

And any corporate media platform telling you otherwise may only be feeding into the narrative short sellers want you to hear.

So, can AMC stock make you a multi-millionaire?

AMC when lambo?
AMC when Lambo? Can AMC moon?

This is going to depend on two key factors: the number of shares you own, and how high the stock price may potentially run up to.

In my AMC exit strategy guide I talk about goal setting to make sure you cash out handsomely profitable.

We cannot time the peak of a short squeeze nor determine how many shorts have covered until the data has been updated 2-3 days after positions have been closed.

However, I’ve found that creating an exit strategy with a goal in mind will help you determine how many shares of the company you will need to own to reach your cash out goal.

You may start off by writing down brackets of $100, $200, $300, and so on to identify how close or far off you will be to that specific goal in mind.

Keep in mind that the farther out your bracket is, the riskier holding your position may become.

The point of a short squeeze trade is to make a positive impact on your current finances.

Remember, bulls make money, bears make money, but pigs get slaughtered.

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How Close Are AMC and GameStop to Squeezing?

AMC and GameStop Squeezing
What will take AMC and GameStop to squeeze? And how soon will this happen?

AMC and GameStop seemed to begin squeezing in late March before being halted.

Both these stock’s short interest has not changed which means shorts have not closed their positions.

AMC and GameStop are both down 10%-20% on the five-day chart.

Volume has also significantly dropped during this bear market, which is normal.

Let’s break it down together.

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Let’s dive right into it!

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AMC and GameStop are overdue for massive price action

AMC and GameStop

If there’s one thing we’ve learned from both AMC and GameStop over the last year, it’s that they move in very similar ways.

Both these momentum stock have very similar short interest data as well.

AMC SI: 20.59% | Utilization: 100 | Shares on loan: 136.54m

GME SI: 21.63% | Utilization: 100 | Shares on loan: 20.14m

(Short interest updated daily here)

The biggest and most notable difference here being the number of shares on loan.

The short interest essentially shows us the percentage of the float that is being shorted.

We can see that millions of shares have been on loan.

These shares have to be bought back or returned at some point.

And when they are, it’s going to cause AMC and GME to squeeze.

Because we are in a bear market, it’s more likely we will see shorts close as we transition towards a bull market.

But more on that below.

Trading volume

AMC and GameStop began squeezing after trading volume surged more than 3-4 times their average volume.

The trading halt, which lasted no more than a few minutes became a lifeline for short sellers who would have been squeezed from their positions.

The two stocks saw massive price surges in late March when the market opened.

That same week we saw dark pool trading volume surge as momentum skyrocketed in both AMC and GME stock.

Since the halt, AMC and GameStop’s share price and volume has dropped, essentially erasing gains from the previous moves.

Was this market manipulation?

Several retail investors seem to think so.

The halts prevented both AMC and GameStop from squeezing shorts out of their positions.

AMC topped $34; GameStop topped $199 only moments before trading was halted.

But this halt was only meant to keep these stocks in line with the rest of the market.

Things are going to change very drastically as we re-enter a bull market.

Squeezing shorts is only a matter of time

The best approach to squeezing shorts from their positions seems to be more of a long-term strategy now than it was back in January of last year.

Both AMC and GameStop have established new grounds to work with.

We saw this happen with Tesla as it too was heavily attacked by short sellers at some point.

Tesla’s growth accumulated over time despite the heavy short selling.

Its highly likely we see a similar trend occur with AMC and GameStop.

Is there a short-term scenario where shorts get squeezed from their positions?

Absolutely.

I believe that as we re-enter a bull market, small and midcap companies will surge, enabling current shorts to close their positions.

And as traders begin to shift to call options, I expect massive price runups to go into full effect.

Institutions and traders are currently hedging against their positions in the market with puts.

This is just something bulls will have to weather out for now until the market becomes bullish again.

And you’ll see that these switches are very common in the market.

Bear markets don’t tend to last as long as bull markets.

The average bull market lasts anywhere between 973 days to 2.7 years according to Forbes.

They’ve also occurred for 78% of the time in the past 91 years.

We hodl.

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Is There a Possibility Amazon is going to buy AMC Entertainment?

Amazon to buy AMC - Amazon AMC
Jeff Bezos – CEO of Amazon (AMZN)

For months now investors have been curious whether Amazon is going to buy AMC Entertainment or not.

The topic resurfaced in 2021 when investors speculated ways AMC stock’s share price could surge.

Today AMC is up more than 29% this week.

The company recently held their Q4 earnings call and announced their cryptocurrency news.

So, is there a possibility Amazon is going to buy AMC Entertainment in 2022?

And does the century old movie theatre chain even need an acquisition?

Let’s discuss it.

franknez.com

Welcome to Franknez.com – don’t forget to join the newsletter for more market news and updates. Today we’re discussing the possible Amazon acquisition of AMC theatres.

Let’s dive right into it!

If you’re new to the blog, welcome! My name is Frank Nez and I publish daily content to keep you up to date on what you want to know.

Reach out in the comment section at the end of the article or via social media if you have any questions or inquiries for me.

If you are a returning visitor thank you for sticking around.

Let’s get started.

Amazon and AMC rumors

Amazon AMC Prime

There has been a number of Amazon and AMC rumors going as far back as 2020 an even 2018.

The rumor was that AMC and Odeon (UK) were in the talks about an Amazon and AMC takeover.

It was then made unclear whether discussions were active during the possibility of an Amazon and AMC buyout.

Amazon has considered getting into the theatrical movie business before; they were reportedly one of the potential buyers for the arthouse chain of Landmark Theaters, which were sold in 2018 to Cohen Media Group. Bloomberg.

So, Amazon’s interest in acquiring AMC has certainly been there.

The talks about a possible AMC merge were happening during the pandemic when the movie theatre chain was forced to close its doors to the public.

Sources said if there was an agreement there would be no merge between Amazon and AMC.

Amazon would buy AMC directly.

However, two years later and Amazon has not acquired AMC yet.

But does the theatre chain even need an acquisition today?

Let’s talk a little bit more about it.

Does AMC need Amazon to acquire it?

AMC Entertainment Theatres
AMC Entertainment Theatres

AMC no longer needs to be acquired by Amazon nor any other company.

The movie theatre chain showed promising progress and growth every quarter of 2021.

The company released its Q4 earnings report for 2021 and boast a whopping $1.8 billion in revenue that quarter alone.

CEO and President of AMC Entertainment, Adam Aron, said they expect 2022 earnings to double.

Although Amazon and AMC could innovate as a merge or buyout, the company managed to escape bankruptcy in 2021 and no longer requires an escape plan.

While the stock may still be heavily shorted, a merge with the tech giant could force short sellers to step down.

This would greatly benefit shareholders of AMC Entertainment Holdings, Inc.

In fact, Amazon just acquired MGM Movie Studios in a $8.5 billion deal earlier in March.

Is there a possibility Amazon is going to buy AMC in 2022?

Amazon Smile Logo

Although possible, it’s highly unlikely as AMC theatres’ CEO Adam Aron has paved a positive road for the movie theatre chain’s recovery.

This recovery could provide Amazon with an incentive to buy AMC as it no longer faces its mountain debt nor limited attendance.

AMC Entertainment has gone to innovate in several ways.

You can now buy movie tickets online using cryptocurrencies such as Bitcoin, Shiba Inu Coin, and Dogecoin (one of Elon Musk’s favorite).

The company is also initiating its AMC Perfectly Popcorn Brand to increase its revenue streams.

The team is welcoming former Frito-Lay executive Ellen Copaken to lead the project.

Something else AMC is doing that no other business has done is introduce NFTs to the market.

Although still relatively new, this innovation has already created a phenomenon and it’s here to stay.

So, whether Amazon and AMC come to a buyout agreement this year or not, the century old movie theatre chain doesn’t seem to need it.

At least not where it stands today.

I’m curious to hear your thoughts about a possible Amazon and AMC merge.

Leave a comment below.

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Read: AMC Theatres: The most anticipated movies coming in 2022


AMC and GME Stock Get Halted During Trading Surge

AMC and GameStop Halts
Halts are happening again as ‘meme stocks’ soar in volume and price

AMC and GameStop were halted shortly after the market opened this morning.

AMC stock reached a high of $34.09 and GameStop reached a high $199.24 before plunging.

The halts seized the ‘meme stocks’ from soaring, momentarily freezing momentum.

Shareholders might recall halts occurred last year as well before ‘meme stocks’ reached all-time highs.

Let’s discuss it.

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Momentum triggers gamma halts in AMC and GameStop

Both AMC and GameStop have more than 3 times their average trading volume today.

Could these early gamma squeezes have triggered a short squeeze in both AMC and GameStop had the stocks not been halted?

It’s certainly possible.

Although, it’s no secret these halts play in financial institutions’ favor.

Perpetual momentum could cause significant damage to institutions short on these plays.

The halts are not there for retail to regain composure, it’s for short sellers to regain their composure.

It gives financial institutions time to access the situation as it is no longer in their control.

The only control market makers have during these volatile swings are when to pause the game for themselves.

The thing is, when they resume retail investors will still be there.

So, while market makers might be able to slow down the process, they cannot prevent the inevitable.

Is history about to repeat itself?

AMC and GameStop along with other ‘meme stocks’ were halted in January of 2021.

Not only did these halts prevent these stocks from surging but Robinhood also froze the ability to purchase them.

AMC experienced halts again in May before its price ran up to more than $72 per share.

Retail investors were temporarily prohibited from purchasing the stock like they were in January.

Retail investors should view these halts as confirmation massive gains are coming in the near future.

While minor setbacks such halts might discourage bullish investors, it’s important to zoom out and look at the broader picture.

AMC stock is up more than 57% in the last five trading days.

And GameStop is up more than 36% in the last five trading days.

More than 56% of retail investors own GameStop and more than 90% of retail owns AMC Entertainment.

No one in the community is going to quit the crusade against crime in the markets due to halts.

What to look out for this week

AMC stock halted
AMC Stock Halted | GME Halt | GameStop Halt | AMC and GME Halt

Here’s what we can expect this week for AMC and GameStop.

  1. Surge in trading volume
  2. Short and distort campaigns

We can expect the same surges in volume throughout the week for both AMC and GameStop.

Retail investors are not letting off the gas pedal and short sellers know this.

For this reason, we can expect short and distort campaigns to take full flight again.

Corporate media has taken shots at AMC and GameStop for over a year, what’s to stop them now?

Despite the adversity, shorts have not closed their positions which means these two stocks have a lot of room for growth.

AMC currently has a short interest of 20.99% and GameStop has a short interest of 24.62%.

I update a list of heavily shorted stocks here daily so be sure to bookmark the page.

The short interest shows us the percentage of a stock’s float that is shorted.

10% is typically considered to be high while anything above 20% is out of the norm and deemed as ‘extremely high’ short interest.

We can spot some short covering as the short interest begins to decrease.

Are short squeezes on the horizon?

An AMC or GME short squeeze may happen at any moment.

This is why it’s imperative that shareholders hold the stock.

Investors are creating pressure through buying momentum, which increases the probability of runups and short covering.

AMC short sellers have suffered more than $750 million in the past two weeks.

Last week GME short sellers lost almost $500 million in one day alone.

The odds are definitely in retail’s favor.

Shorting AMC and GME stock will prove to be one of the riskiest bets in stock market history.

The pressure is certainly on and I’m excited to see retail come out at the end of this victorious.

I’d love to hear your thoughts.

Do you own AMC and GME stock?

Leave a comment below.

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AMC Short Sellers Suffer More Than $750 Million

AMC Short Sellers lose more than $750 million
Short sellers lose more than $750 million shorting AMC stock

AMC short sellers are facing massive losses.

Short sellers have lost more than $750 million in the past two weeks alone.

AMC is up more than 84% in the past five trading days closing up more than 44% today.

Should we expect more price surges this week?

Let’s break it down together.

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Welcome to Franknez.com – Today AMC is experiencing a gamma squeeze. This is going to be an exciting week for shareholders.

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AMC’s volume skyrockets past 200 million

AMC Stock

Last week AMC’s trading volume reached 130 million, a milestone we have not seen since last year prior to its runup to $72 per share.

Today AMC’s volume skyrocketed past 200 million.

A clear sign the stock is getting ready for higher price action.

In the midst of these runups, short sellers have lost more than $750 million dollars in the past two weeks alone.

And this is only so far as momentum will keep driving AMC forward.

AMC short sellers are about to experience greater losses if they continue to hold their positions.

History is about to repeat itself as AMC aims at reaching a new all-time high for 2022.

The question is how high will AMC go?

Has AMC’s short squeeze started?

AMC short squeeze
Is AMC squeezing?

AMC’s current reported short interest is 20.90%.

We will notice short covering in the market when this number figure begins to decline.

When AMC surged to $72 per share last year, we saw the short interest drop from 20% to 14%.

AMC short sellers jumped in again and the short interest has risen to almost 21% since.

As of today, AMC’s short interest has not changed.

We should have a better understanding whether AMC’s runup has been mere momentum from retail, or short covering in the next day or two.

I update AMC’s short interest data here daily so be sure to bookmark it.

You can subscribe to the blog or follow me on social media for regular updates.

What’s currently moving AMC’s price action may also be options that expired in the money last week.

I’d love to hear your thoughts in the comment section below on what you think.

How soon will AMC squeeze?

AMC Short Sellers

AMC had two main runup points.

One towards the end of January and another in May of 2021.

While both events managed to squeeze a few shorts from their positions, hedge funds continued to overleverage their positions.

Shareholders have held their stock to inevitably send AMC’s share price to unprecedented numbers by squeezing hedge funds out.

Financial institutions around the globe are facing liquidity issues.

These liquidity issues are forcing institutions to keep up with their margin requirements as margin calls are triggered.

While the market takes a dump due to hedge fund selloffs, heavily shorted stocks such as AMC and GameStop will trigger short sellers to close their positions.

AMC’s trading volume surpassed 200 million on Monday and the probability of it increasing in the coming days is very high.

At some point, shorting the stock won’t be worth if for short sellers, especially as the cost to borrow the stock soars.

AMC has increased its retail shareholder base from 3 million to 4 million in the past year.

More investors have uncovered the short interest data that shows AMC has the perfect short squeeze setup.

Whether MOASS is just around the corner, or this is merely another massive price runup, there’s no denying significant gains are on their way.

What do you think?

Leave your thoughts in the comment section below.

AMC short sellers are going to be in a lot of pain.

Will it be from gamma, or from MOASS?

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CEO Strengthens AMC Theatres by Acquiring Cinemark Cinema Lease

AMC Theatres Acquires Cinemark
Market News: AMC Theatres Acquires Cinemark Cinema Lease in Chicago area

AMC Theatres is reopening Cinemark’s former lease as AMC Evanston 12 in Chicago.

AMC Entertainment showed much strength after it announced it was refinancing its debt and bringing former Frito-Lay executive Ellen Copaken on board.

Now the country’s largest theatre chain is expanding its acquisition strategy to further strengthen the company.

How will this affect AMC’s shareholders?

franknez.com

Welcome to Franknez.com – AMC Theatres continues to flex. I’m going to go over what’s happening today and what it means for the investor.

Let’s dive right into it!

AMC Acquires Cinemark Lease

AMC Acquires Cinemark Cinema
AMC Acquires Cinemark Cinema Lease

Originally operating as Century 12 Evanston, the theatre is reopening later this year as AMC Evanston 12 in Evanston, IL.

AMC theatres reached an agreement with GW Properties to take over and reopen AMC Evanston 12 in the Chicago area.

Plans include reviving the 12 screens on the north side of the theater and repurposing the other six screens as an entertainment, fitness or recreational venue, such as rock climbing according to Mitch Goltz, the developer.

Earlier, AMC reached separate lease agreements with property developer Unibail-Rodamco-Westfield to take on the leases of two more former Arclight cinemas in San Diego and the Washington, D.C. area.

In December, AMC announced that it was taking over the leases of two theaters in Los Angeles and Chicago previously operated by Pacific Theatres and ArcLight Cinemas.

Other acquisitions: The Grove and Americana Theatres

AMC Theatres announced it would acquire the famous Grove and Americana theatres in Los Angeles last summer.

That acquisition announcement was one of the first strong fundamental moves we saw AMC Theatres take.

Now AMC is taking over Cinemark leases to dominate in its sector.

The city of Evanston, IL is excited to get their movie theatre back, calling it a trophy asset.

The developer estimates renovations will be ready by the first quarter of 2022.

What does this mean for shareholders?

AMC Stock Price Chart
AMC Stock Price Chart

Recently we’ve seen AMC Entertainment stock begin to surge again.

AMC theatres was up more than 20% the second week of February.

The movie theatre stock was up +9.75% on Tuesday February 15th.

I anticipate AMC stock will continue to surge in the coming weeks as the company gets ready to announce 2021’s Q4 earnings call.

Related: What can we expect from AMC’s next earnings call?

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