Retail investors are angry at regulators for allowing Wall Street to decimate APE stock.
While AMC’s Preferred Equity (APE) was intended for the company to capitalize on, banks, institutions, and short sellers have abused shares to the ground.
The equity was meant to provide AMC Entertainment with liquidity in order to pay down their debt.
While AMC was able to reduce their debt by $106 million due to APE, shares have been shorted from $7 all the way down to $0.81.
APE momentarily made Yahoo Finance’s Top List of Most Shorted Stock.
Shareholders questioned how shorting APE was possible in the first place, failing to recognize that APE is a tradable security just like any other stock.
Faceless influencers within the AMC community led many retail investors to believe that shorting AMC’s Preferred Equity was impossible.
And unfortunately, this perception clouded many people from creating a proper investment strategy or embracing for what was to come.
Let’s discuss it.
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Retail Investors Seek to CEO for Answers
AMC and APE shareholders all have one common goal in mind, an AMC short squeeze and an APE short squeeze.
And although many shareholders have been transformed into paying customers, others are looking at AMC CEO Adam Aron for answers.
Loyalists don’t question the CEO and will condemn you for doing so, but if shareholders are still invested in the company, they have every right to yearn for answers.
Adam Aron has successfully maneuvered AMC out of bankruptcy, primarily thanks to its shareholders of course.
He’s utilized Twitter magnificently in a way that no other CEO has ever done so before.
And you can’t help but to admire the business personality in him that can raise cash out of thin air.
Even if it’s from his most loyal followers.
But the CEO has failed to address shareholder concerns on the decimation of APE, or the distribution of APE from Citigroup, who’s been short on the company.
Addressing shareholder concerns is important, whether you agree or not.
Does It Even Matter?
Some of you care about your money, your finances, your investments, and some of you simply don’t.
To some, being part of an embracing community, being known in a community, and embracing the movie theatre industry, but more specifically AMC Entertainment, is more important than monetary gains or financial abundance at this point.
And is that even a bad thing?
You just want to be heard; you want to fight evil in the markets without a care about money.
Or maybe you’re simply in the middle.
Let us know who you are – leave your story down in the comment section below.