AMC is the most popular meme stock of this year and it’s a rally once again. Driven by changing market conditions, the stock may reach higher peaks despite its 2,000% increase this year.
If you are part of the online investment world, it is nearly impossible not to have heard of the biggest meme stock this year: AMC Entertainment. The company made the headlines until its share price halved in July. But, is it set for a rebound? It may be, considering its recent performance – an impressive increase of 8.7% in one trading day.
Let’s find out why AMC Entertainment attracts all the attention once again and where you can buy it right now.
How & Where to Buy AMC Stock Online
AMC Entertainment is listed on the New York Stock Exchange under the ticker AMC. You can easily trade this stock via one of our recommended brokers:
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What Is AMC?
AMC Entertainment is the most popular meme stock of this year, registering a price increase of more than 2,800% before plummeting. The company is the largest movie theatre chain in the world and is based in the US.
Should I Buy AMC Today?
After its share price rally that stopped in July, AMC is gaining once again, with an increase of 8.7% yesterday and 33.9% in the past month. The share price increase may not actually be short-lived this time – and here are two reasons for it.
First, AMC share price hit the rock bottom during the pandemic due to the restrictions. As the world reopens, more and more people go back to their pre-pandemic hobbies – including going to the cinema. One piece of good news for AMC is rising inflation; the theatre chain has fixed costs (rent and interest) while rising inflation means that the company can increase its revenues without losing customers. The question, however, is whether the company will continue its performance after the inflationary period.
Second, the stock has a negative beta of 4.2. This shows that investors can pick this stock to hedge against the market fluctuations since the negative beta means that the share price moves in the opposite direction compared to the rest of the market. Negative betas are extremely difficult to find in the stock market, which indicates the AMC share price may help you protect your investment against market bearishness.
AMC Price Prediction 2021
Meme stock prices reach new highs based on supply and demand rather than fundamentals. So, it’s not surprising to find out that analysts have extremely low expectations for AMC share price this year – down to a high estimate of $16, although the stock currently trades at $47.13.