AMC seems to be settling down for now, after its eventful month of March — However the AMC community still believes there is plenty of reason to continue to buy and hold the popular meme stock. We saw AMC rally nearly 30% in March when AMC CEO Adam Aron announced the major stake in the gold mining company Hycroft Mining. AMC Entertainment disclosed that the company has purchased 22% of Hycroft Mining Holding Corporation, which caused the AMC stock price to surge nearly 30%. Trading volume on the day the news broke also increased rapidly from from the average of 47.2 million to 75.5 million shares. 

The meme stock continues to grow its online community and current apes continue to HODL. The recent 30% spike shows that AMC still has the potential to short squeeze and it’s only a matter of time. There are a number of reasons to believe that AMC is a strong company to hold onto and the meme investors are correct in having a buy-and-hold outlook. Last month we broke it down to see if it was a good time to buy AMC stock and today we’ll re-evaluate with new details.


In 2020 the Global Movie Theater chain was near bankruptcy. However through careful maneuvers and diligent management, the company managed to steer its way out of the dark. AMC has continued to announce impressive quarterly financial reports.  In the fourth quarter of 2020, AMC had a net earnings loss of $946.1 million. However just a year later in 2021’s Q4 earnings, they reported they had decreased that amount to $134.4 million. Similarly, AMC Entertainment fourth quarter revenue in 2021 increased to about $1.2 billion, from $162.5 million the year before. The astounding numbers and improvement AMC makes tells the stockholders all they need to know — that AMC is in it for the long run. In fact, just last month AMC announced that it had its best attended weekend at theaters in the last two years with the release of the Batman movie. The Movie Company sold over 4 million tickets in a Thursday-Sunday weekend showing.


The online reddit community of AMC apes has been strong for the last two years now. The meme stock investors have unwavering support for AMC entertainment and CEO Adam Aron often tweets to retail investors directly to show his appreciation for the community. This only helps the Ape community grow larger and stronger. Apes have a dedicated buy-and-hold mentality and are more than hyper-aware of the short selling activity on the meme stock as well as clear AMC stock price “glitches”. Shareholders know that the stock has about a 20% short interest — which refers to the percentage of a stock’s float that has been borrowed but not yet closed. With how heavily shorted AMC currently is and has been, retail investors are confident that a short squeeze is on the horizon. Especially as more and more hedge funds continue to seemingly be struggling this year, retail investors are sure they’ll have to close their short positions sooner than later.

Source: @CeoAdam Via Twitter


AMC continues to impress retail investors with its ability to adapt and immerse itself into new sectors. In November, AMC announced that it would begin accepting cryptocurrency as payment. CEO Adam Aron revealed via twitter that the movie chain company would accept digital tokens as movie ticket payment. AMC accepts Bitcoin, Litecoin, Ethereum and Bitcoin cash. Shortly after that announcement, AMC announced that it would begin to accept Dogecoin and Shiba Inu next. 

Not only has AMC taken on the cryptocurrency sector, we’ve seen AMC most recently take a 22% stake in a Nevada based Gold-mining company, Hycroft. Now that AMC has taken control of their financial deficits, it has opened their opportunity to start expanding AMC’s pallet. AMC continues to take on new sectors in order to continue to grow and expand the movie chain company.