AMC Entertainment Holdings Inc (NYSE:AMC) shares are down on Wednesday as the stock struggles to maintain momentum following recent box office successes. The decline comes as broader markets are experiencing mixed performance, with the S&P 500 falling 0.94% and the Nasdaq-100 dropping 1.64%, adding pressure to AMC’s shares. Here’s what investors need to know.
AMC Entertainment stock is facing resistance. Why is AMC stock trading lower?
The Surprising Surge In Holiday Attendance
AMC’s stock has been volatile, recently hitting an all-time low before bouncing back, particularly following the release of Avatar: Fire and Ash, which grossed $483 million worldwide.
Despite reporting its strongest pre-Christmas weekend since 2021, attracting over 4 million guests and generating $88 million domestically, Wall Street remains cautious due to long-term balance sheet concerns, especially fears of dilution from a new note agreement allowing for up to $150 million in stock offerings starting in February 2026.
Notably, billionaire Robert Citrone of Discovery Capital Management has taken a contrarian stance, acquiring approximately 32.75 million shares, betting on the stock’s undervaluation relative to its box office recovery.
Is AMC Stock Primed For A Rebound?
The stock is currently trading 6.3% below its 20-day SMA and 36.2% below its 100-day SMA, indicating a bearish trend. Shares have decreased by 51.70% over the past 12 months and are currently positioned closer to their 52-week lows than highs.
The RSI is at 38.73, which is considered neutral territory, while MACD is above its signal line, indicating a bullish signal. The combination of neutral RSI and bullish MACD suggests mixed momentum.
Key Resistance: $2.00
Key Support: $1.50
AMC Earnings Expectations
Investors are looking ahead to the next earnings report on Feb. 24.
EPS Estimate: Loss of 5 cents (Up from a loss of 18 cents YoY)
Revenue Estimate: $1.38 billion (Up from $1.31 billion YoY)
AMC Shares Slip
AMC Price Action: AMC Entertainment shares were down 3.11% at $1.56 at the time of publication on Wednesday, according to Benzinga Pro data.
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