AMC Stock Forecast: AMC Entertainment Holdings Inc surges on New York reopening announcement


  • NYSE:AMC added 17.56% on Tuesday as it largely outpaced the broader markets. 
  • Governor Cuomo of New York announced that movie theaters could reopen on March 5th.
  • AMC will implement new health and safety protocols to try and prevent the spread of COVID-19.

NYSE:AMC has had an eventful two-day streak as some excellent news in one of the biggest cities in America re-invigorated investor interest in the movie theater company. On Tuesday, AMC continued its rally as the stock added 17.56% to close the turbulent trading session at $7.70, the highest price level the stock has seen since the tail end of the Reddit movement against Wall Street at the end of January. While CEO Adam Aron confirmed that the added capital removed the threat of imminent bankruptcy, AMC is still banking on a future where movie theatre traffic is as high as it was pre-pandemic. 

AMC did receive a boost on Monday when New York Governor Andrew Cuomo announced that movie theaters would be able to reopen in the state as of March 5th. The plan sees a limit of 25% capacity per theater or 50 people per screen, as well as assigned seating and increased health and safety protocols to be carried out by AMC staff. These protocols were created with the help of Clorox and Harvard University, which will look to increase the sanitation level of public outlets. 

AMC stock price

AMC stock price chart

Despite the reopening plan, AMC still has a long way to go to persuade people to once again choose going to a movie theater over watching the movie at home. The thirteen theaters located in New York City will be amongst the first to reopen come March 5th, but AMC still remains a volatile investment for the future, especially if COVID-19 and its variants end up becoming recurring virus strains each year. 

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