MemberJuly 8, 2021 at 4:29 pm
It will be interesting to see if the US will try to push another lockdown (and if people will obey it). After roughly 14ish months of lockdown, a lot of US citizens are fed up with it, regardless of another wave and there is no guarantee they will obey this time.
It will also be interesting to see how this administration will handle it. The previous one (love it or hate it) was a strong proponent to keeping the economy open for business. This administration seems more inclined to keep people home again.
How does AMC play in? In my opinion, AMC is in a completely different position than last year. They are now sitting on billions of dollars and have publicly stated they can operate until the end of 2022 and are the healthiest they have been in their 100 years of business.
With all the share issuance they have done this year, and the revenue they will be getting this year with all of the movies coming out, if they were smart, instead of trying to grow and acquire more locations, they should lower/negiotiate their debt and streamline costs and spending just in case we are locked down again.
We apes still have yet to get paid. AMC has already gotten paid multiple times. They currently have the most money in thier account than they have ever had. If they can’t manage it wisely and survive the worst case scenario (another shut down), then they have bigger problems.
The hedge funds are a different story though. I have no facts, but I wouldn’t be surprised if part of their plan was to keep kicking this can down the road as much as possible until the 2nd wave hits us and takes out AMC for good and/or we lose our steam. That plan didn’t expect apes to buy and hold and strengthen the company financially though, so the game has changed. Even if we were to lock down again, the fight for the squeeze would still be on and AMC really wouldn’t even be a factor this time (as long as they stay out and quit asking for more shares).
Just my 2 cents.