Market News: APE failure to deliver surge since inception.
AMC’s Preferred Equity, APE, topped $304.9 million in FTDs last month.
The FTDs are reported for the month of August, per Stocksera.
FTDs, or Failure-to-deliver occurs when one party in a trading contract (whether it’s shares, futures, or options) fails to deliver on their obligations.
These failures derive due to buyers not having enough money to take delivery and pay for the transaction at settlement.
In the case of sellers, it means not having the goods to meet that transaction.
Failure-to-deliver can occur in options trading or when selling short naked, per Investopedia.
AMC Entertainment has been a big target for short sellers looking to profit from the demise of the century old movie theatre chain.
The alarming amount of APE FTDs further proves this.
Let’s discuss it below.
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.
According to Investopedia, APE FTDs can also occur if there is a technical problem in the settlement process carried out by the respective parties (clearing houses).
There’s a major conflict of interest when Citadel Clearing LLC transacts orders worldwide.
Ken Griffin’s Citadel LLC is short on AMC Entertainment stock, so we can see how utilities play out in the hedge fund’s favor.
It’s unlikely FTDs have been a result of retail buyers since the majority are purchasing the equity on cash accounts where orders execute almost immediately.
Naked short selling seems to be the most probable cause here as $APE has tumbled despite heavy retail interest.
The large amount of FTDs is manipulative and quite common in stocks such as AMC and GameStop.
Retail investors have taken it to Twitter to express their concerns to SEC Chairman Gary Gensler.
And although activists continue to engage the Chairman, no action has taken place to justify the ongoing market manipulation in APE, AMC, and GameStop.
Others are suggesting protesting outside SEC locations across the country.
Leave your thoughts on APE
There’s a lot of speculation surrounding APE FTDs and APE stock in general.
Are you holding APE?
Leave your thoughts below.
Frank Nez is on YouTube – Subscribe for more content and updates.
Join the newsletter to become part of an activist group fighting for market transparency!
Receive weekly market news and articles like this to stay up to date.
AMC yields positive results for Q2 2022
AMC Entertainment announced it had its best Q2 in 3 years, up 61% from its previous two years according to CEO Adam Aron.
The company was able to seat more than 59 million guests worldwide in Q2 alone, due to massive titles such as Doctor Strange: Multiverse of Madness and Top Gun: Maverick.
Top Gun Maverick is currently the highest grossing film this year nearing $1.3 billion at the box office.
In Q2, AMC had $52 million of positive operating cash flow and $107 million positive EBITDA, which is relative to the strength of a company.
The company ended Q2 with $1.18 billion in liquidity, a trend we’ve seen in the past with Q1 of 2022.
AMC announced it had reduced its deferred rent by more than $250 million and plans to reduce it by another $40 million ending the year.
While AMC has become a target for Wall Street firms and journalists, it looks like opposers will continue to eat crow for the time being.
The largest movie theatre chain in the world has become a force to be reckoned with.
AMC issues APE dividend
One of the most exciting news confirmed during AMC’s Q2 earnings call was that of the issue of a new dividend.
Investors holding AMC Entertainment stock by August 19 will be granted a new stock for each AMC share they hold under the stock ticker symbol $APE.
This will be an additional security and will not dilute AMC’s float as it is a separate stock.
The ticker symbol APE stands for ‘AMC Preferred Equity’.
AMC plans to use this currency as a means to pay down debt and raise additional cash.
The new currency will be available to all international AMC shareholders and will be tradable in the market.
Market News: AMC MOASS confirmed by cryptic tweets?
Community members have been keeping a close eye on announcements, with many speculating AMC’s MOASS was just confirmed.
MOASS stands for mother of all short squeezes.
This is the big short squeeze retail investors have been patiently waiting for all 2021 and this year.
While the surge to $72 per share might have been significant, only a small percentage of short sellers closed their positions during this time period.
And while the information and dates detailed in this article might seem too coincidental, community members must always take such information with a grain of salt.
Let’s get started!
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.
Join the newsletter to become part of an activist group fighting for market transparency!
Receive weekly market news to stay up to date.
AMC Theatres cryptic tweet
Some of you might be familiar with Adam Aron’s ‘pounce’ tweet where he mentions a pounce will not occur before Q2 earnings call is announced on Thursday, August 4th.
In that tweet, he says to read between the lines.
But that’s not all, because more than week after the CEO’s announcement, AMC Theatres published an interesting tweet about the upcoming Brad Pitt film, Bullet Train.
“Epic fights, a bunch of assassins and #BradPitt all squeezed into a speeding train is the only commute I’ll happily endure. On August 5 take the trip to see #BulletTrainMovie…”
The date mentioned in the tweet is one day after AMC’s Q2 earnings report will be announced.
The ‘ape’ community was quick to read between the lines and call the cryptic message an AMC MOASS confirmation.
Films have been breaking record after record all year long.
With positive Q2 announcements plus another hit title, it’s very possible we see AMC’s share price soar, initiating short sellers to ditch the play and close their positions.
At least that’s what the hopes are for AMC shareholders.
Is a short squeeze guaranteed after the Q2 earnings report?
Absolutely not.
But is the possibility of big price action highly probable?
Given that the company has restructured its debt and has been dominating the industry all year, it seems very likely shareholders will see a rise in share price.
Will Wall Street lose again?
Retail investors humiliated Wall Street last year when both novice and experienced investors managed to beat financial institutions at their own game.
Hedge funds such as Citadel lost billions betting against retail.
Popular trading platform Robinhood nearly destroyed its reputation when it restricted retail from purchasing ‘meme stocks’ last year.
On the other hand, we have Gabe Plotkin’s Melvin Capital, who shut down this year after failing to recover from damages after shorting GameStop.
Analysts predicted the demise of AMC, giving it a $1 and $0.01 price target, only to get ridiculed by millions of investors after the company’s share price surged to $72 per share.
Today, AMC’s share price continues to beat every analyst’s price prediction.
What will happen if Wall Street is forced to eat crow again, as Adam Aron puts it?
Retail investors have evolved, and Wall Street is taking notice.
It's time for all the stonkers and the GMEsters and the AMCers to move on. You are for the most part, bitter gamblers who know one thing: to blame me for your losses. I know you will keep targeting me, but it is time you go back to a real job and tell your mommies!!!
For over a year now corporate media has attacked retail investors in the AMC and GME community, catering to unprofessionalism and giving big networks a bad name.
Desperate attempts to mislead shareholders into selling both company’s stocks has also been an ongoing failure for Wall Street.
Retail’s message is loud and clear, they’re not going anywhere.
FOX: “Only 6% of retail have sold stocks”
FOX: Retail investors buying and holding, per ETORO survey
According to a survey conducted by ETORO, only a very small percentage of retail investors have sold stocks during today’s bear market.
FOX published the results.
65% of retail investors are currently holding their positions, 29% continue to buy stocks despite the market conditions, and only 6% of retail have sold stocks.
The large market selloffs we’re seeing today are primarily caused by hedge funds, according to Bank of America.
Retail investors aren’t budging, no matter how bad Jim Cramer wants retail investors to exit the stock market.
For more market news and updates, subscribe to the newsletter for weekly email alerts.
Thor: Love and Thunder has just led AMC Entertainment to an incredible start this third quarter.
The film brought $143 million in North America and another $159 million internationally.
While the latest MCU film’s opening was slightly behind domestic estimates of $150 million, it still performed very well and earned more than Thor: Ragnarok’s $123 million in 2017.
It also sits just behind Jurassic World: Dominion’s $145 million and Doctor Strange in the Multiverse of Madness‘ $185 million for the biggest opening weekend of 2022.
Minions: The Rise of Gru took second place by earning $45.5 million in its second weekend. As it stands, the fifth entry in the Despicable Me franchise has brought in $210 million domestically and $399.8 million globally.
Top Gun: Maverick placed third by adding another $15.5 million to its total in its seventh weekend of release. The second Top Gun film has earned $597.4 million domestically and over $1.18 billion globally.
Elvis took fourth place with $11 million, marking a 40% drop from its opening weekend. Elvis has brought in $91.1 million in North America so far, via IGN.
The success of these films proves people still very much want the movie theatre experience.
For over a year now, Wall Street analysts have said movie theatres are dead and have bet against AMC Entertainment stock.
However, the market continues to prove these ‘experts‘ wrong.
Will shareholders squeeze shorts from their positions?
AMC reached an all-time high of $72 per share last year when it managed to squeeze some short sellers from their positions.
But the short squeeze setup is still there, meaning AMC has massive potential to yield big profits for investors.
Adam Aron published a cryptic but bullish tweet last week announcing a ‘pounce’ after Q2 earnings call.
Shareholders are hoping for a massive rebound, squeezing majority of short sellers from this momentum play once and for all.
And whether this next price runup is MOASS (mother of all short squeezes) or not, short term investors will get a chance to make some quick profit here.
The last time AMC traded in the $14 levels it began to break upwards until reached its all-time high of $72 per share.
How high AMC Entertainment stock goes this time around will depend on how many short positions actually get closed this year.
One thing is certain, AMC has come a long way and it’s nowhere near its stock price potential.
Support your favorite blog for only $4/mo.
Your support helps maintain all the costs it takes to run a blog at this scale.
Together, we’ve been able to place AMC Entertainment articles on the #1 page results on Google and get featured on the ‘news’ section, combating mainstream media.
The mission of this platform is to spread the truth corporate media isn’t willing to, by giving the people in our community a voice.
Join the newsletter to become part of an activist group fighting for market transparency!
Receive weekly market news to stay up to date.
Shorts think retail investors are experiencing fatigue
Reuters just published an article giving us some insight to what suits think of the current ‘meme stock’ situation.
They understand that short interest in AMC is rising despite its fundamental improvement.
Shorts seem to have gained some confidence in the bear market – go figure.
Wedbush Securities Inc. says it doesn’t seem like it’s a great time to short AMC.
Bets against the company “reflect that institutional investors think that the retail shareholders are experiencing fatigue here.”
While it’s true buying has cooled down, apes are still very much in this play to squeeze shorts from their positions.
Many investors have gone on the offense for months now and are supporting AMC Entertainment outside the market.
Shareholders have become so loyal to the brand that they’ve become the very guests attending the movie theatres.
Volume might not be on the rise like last year, but movie theatre attendance sure is.
The ape community has grown to understand just how important the fundamentals of the company are, despite a short squeeze not requiring them.
Retail investors might look like they’re on the sideline, but little do shorts know they’ve been on the offense the entire time.
A beacon for change
We The Investors – apes sign to ban PFOF
The ‘ape’ community continues to be a beacon for change.
Community members recently gathered on social media to sign a petition going out to the SEC, created by activist Dave Laurer.
We The Investors is an initiative to get retail’s concerns in front of SEC Chairman Gary Gensler in efforts to raise awareness of the problems retail investors face in the market.
The letter to ban PFOF (payment for order flow) received more than 71.5k signatures.
“Together, we’re going to make sure that retail represents itself, & that firms who productize their clients can’t claim to represent them. Together, we’re going to make markets simpler, fairer & more transparent”, says Dave.
Ken Griffin’s Citadel is pushing back on the possibility of the SEC banning PFOF, along with the entire hedge fund industry.
However, other apes are taking a much different approach.
Unlike Dave Lauer, majority of retail investors don’t believe in the SEC.
They’re using marketing campaigns to put pressure on our regulators as seen below.
AMC’s rising short interest only makes the probabilities of a larger short squeeze possible.
Are short sellers being misguided?
Has the abrupt closing of hedge funds not proven anything?
Are short sellers going to get squeezed?
Small short sellers should keep in mind that it only takes one big short seller to close their positions in AMC stock to create a chain reaction.
There is a big risk knowing big institutions shorting AMC stock may either default or get forced to close short positions.
The impact this would have on smaller short sellers would be grand.
How about the rising fees and cost to borrow shares?
It is now costing short sellers a lot more to short AMC stock.
AMC’s cost to borrow has doubled in only a weeks-time to 4.49.
And according to Stonk-O-Tracker, AMC’s short borrow interest rate has increased to 10.60%.
As the short interest continues to rise, we will see that the cost to short AMC will also rise.
The question then becomes, at what point is shorting AMC no longer worth it?
The bottom line is short sellers will eventually close their positions whether they profit, break even, or cut their losses.
The risk for small short sellers is not knowing when big institutions will bring the hammer down.
Here is what threatens short sellers
#1. The rising cost to borrow shares
The cost to short AMC stock is only increasing.
Not only are there not enough shares available to borrow, but overleveraging a position is never a good idea.
Short sellers will eventually owe back more than they can afford to.
The risks are high.
#2. Heavy buy volume
While volume tends to be relatively lower during bear rallies than during bull markets, big buying pressure is a real threat to short sellers.
A reversal in the market will trigger big price moves due to heavy buying.
As the price of a stock surges, short sellers will be facing unrealized losses far greater than they could have ever expected.
And just like during a bear market when stocks fall no matter the circumstances, we can expect a bull market to begin reaching new all-time highs like we’ve seen in the past.
Keep in mind, bull markets also last longer than bear markets, making holding unrealized losses a massive inconvenience for short sellers.
#3. Big institutions closing short positions
As stated previously, big institutions are facing a lot of scrutiny.
Executive order 14032 recently prohibited institutions from using Chinese securities as collateral.
This means affected hedge funds are on a race scrambling for liquidity.
Keeping up with margin requirements is becoming tougher.
A highly likely scenario is one where big institutions hedge against the short positions by going long and close out their short positions, creating a short squeeze and balancing their books to an extent.
Smaller short sellers have no control over this and are playing with a double-edged sword.
Now, mainstream media won’t talk about this because it goes against the agenda of big institutions.
Just something to keep in mind.
Are short sellers more at risk than retail investors?
What do you think?
Who is more at risk – short sellers or retail investors?
Leave your thoughts in the comment section of the blog below.
Market News: The SEC attacks retail investors with propaganda
The SEC meme stock video is circulating all over social media due to its surprisingly and unprofessional attack on retail investors.
The agency was created in the 30s after the Great Crash to prevent fraud and protect retail investors from predatorial practices conducted by Wall Street.
But something happened along the way – the branch has proved to take a stance with congress in tailoring policies for financial institutions.
Who is going to protect retail investors from the corrupt?
Former SEC Branch Chief expresses her thoughts on the propaganda published by the SEC.
Let’s discuss it.
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.
Join the newsletter to become part of an activist group fighting for market transparency!
Receive weekly market news to stay up to date.
SEC publishes meme stock video
If you haven’t watched the SEC meme stock video, it’s embedded below.
SEC Meme Stock Video
The SEC published the video on their official YouTube channel where they restricted public commenting.
Former SEC Branch Chief Lisa Braganca said she was “very disappointed to see the SEC disparage investors in meme stocks as if they must have done it thoughtlessly – especially when the SEC permits most trading to take place in dark pools.”
She then tweeted, “how about a video on dark pools Gary Gensler?”
Lisa Braganca is an activist who fights for market transparency.
She’s talked on Matt Kohrs’ channel before and has done an AMA on Reddit’s r/Superstonk answering questions about self-regulatory regulations, SEC regulation, and SEC enforcement.
Gary Gensler admitted in a Bloomberg exclusive 90%-95% of retail orders don’t go through the lit exchange but failed to mention a solution to the problem.
In an interview with Jon Stewart, the SEC Chairman fails to deliver a quality and productive discussion on solving the problems in the market.
Jon Stewart described Gary Gensler as a sheriff in town that allows blatant corruption to occur.
For Gary, it’s clear it’s more about keeping the job rather than creating a legacy.
Activism matters
The SEC’s meme stock video might try to portray retail investors as young and clueless novice investors.
But that’s far from who the retail community is.
Retail investors outsmarted hedge funds, exposed the corruption in the SEC, mainstream media, and are now attacking with this propaganda.
It’s a sign of weakness.
The retail community is made up of a very diversified group of people all fighting for the same cause.
And this is a threat to corporate media and powerful institutions.
Republicans and democrats getting together to fight for market transparency, what!?
But this isn’t just about the left and right getting together to combat corruption, it’s a global movement – and opps (opposers) don’t like this.
Join the newsletter to become part of an activist group fighting for market transparency!
Receive weekly market news to stay up to date.
AMC movie theatres rise again
AMC movie theatres might have been resurrected by retail investors in 2021, but the company has risen above all adversity post pandemic.
While Wall Street and its media affiliates might have tried to bankrupt the company by shorting the stock, short sellers have another thing coming.
But more on that later.
AMC Entertainment had the best 1st quarter in two years when it exceeded market expectations.
The movie theatre giant saw an impressive $630 million improvement in revenue in Q1 and $233 million in adjusted EBITDA from over a year ago.
Doctor Strange in the Multiverse of Madness leads Q2 to an incredible start as it became the biggest opening of 2022 and the second largest opening post pandemic to Spider-Man No Way Home.
Tom Cruise’s ‘Top Gun: Maverick’ only further fuels that success for the company.
AMC invests $250 million in state-of-the art laser projectors
CEO and President Adam Aron announced in April AMC movie theatres spent a quarter billion dollars in state-of-the-art laser projectors.
A quarter of a billion dollars were used to upgrade the move theatre experience for avid movie goers, according to the CEO.
AMC Entertainment is switching old projectors for state-of-the-art laser projections.
The laser projections are going to provide guests with much brighter and sharper pictures on screen.
This is also the greenest environmental initiative in AMC’s 102 years, according to Adam.
The investment demonstrates how important the cinema experience is to the company for its guests and shareholders.
AMC movie theatres have already beat earnings from previous years, but now they’re taking the cinema experience to another level.
Shareholder confidence in the company continues to grow as the century old movie theatre chain goes on the offense.
But that’s not all.
AMC Entertainment has also expanded and acquired the highest quality movie theatres in the country.
The acquisition of 7 Bow Tie Cinemas
AMC Entertainment (AMC) acquired seven former Bow Tie Cinemas locations in April.
Five of which are in Connecticut, one in upstate New York, and another one in Annapolis, Maryland.
The new movie theatres in Connecticut will double AMC’s presence in the state.
Bow Tie Cinemas locations that previously served alcohol will continue to offer wine, beer and liquor and be rebranded under AMC’s MacGuffins brand.
While the converted theaters will no longer honor Bow Tie Cinemas Criterion Club rewards, impacted customers who sign up for AMC Stubs with the same email used for their account will be rounded up to the next Criterion Club award they would have received under the program.
Both of which were listed in the top 30 most successful movie theatres in the world.
Wall Street might want the movies dead, but movie theatres aren’t going anywhere.
AMC movie theatre stock
Market News: AMC Entertainment Stock
AMC stock made the biggest ruckus on Wall Street last year when retail investors drove the stock price to all-time highs through heavy buying pressure.
The community has grown from 3 million to 4 million retail investors.
Now, over 90% of AMC’s float is owned by retail and short sellers still haven’t left.
With a short interest of almost 23%, AMC Entertainment stock continues to be a short squeeze play.
AMC shareholders continue to buy and hold the stock in efforts to drive AMC’s share price to a new all-time high this year.
You can read more about AMC’s short interest, price prediction, and short squeeze data here.
So, although AMC’s share price has come down, shareholders know something corporate media simply won’t talk about.
AMC stock is about to get big again.
Join the newsletter for more content, updates, and market news or connect with me on social media.
The number of shares on loan are at an all-time high meaning there are now more shares that have to be returned than there were during AMC’s run to $20 and $72 per share.
AMC has the perfect short squeeze setup.
And as the fee rises to short AMC stock, shorts will have to make the decision to either deal with it or close their short positions.
![Will AMC Stock Squeeze in 2022? [Short Interest Data]](https://i0.wp.com/franknez.com/wp-content/uploads/2022/01/Will-AMC-Squeeze-in-2022.jpg?resize=40%2C40&ssl=1){kind=small}
