Should I buy AMC Entertainment stock in 2025?

What is AMC Entertainment?

How much is the AMC Entertainment stock?

The price of AMC Entertainment stock is falling this week. As of now, the stock trades at $3.42, down 1.16% in the last 24 hours and 5.56% over the week, with a market capitalisation of $1.5 billion. AMC’s average trading volume over the past three months is 10.1 million shares. The company currently has no P/E ratio (as it operates at a loss) and offers no dividend yield, while the stock’s beta stands at 1.34, indicating higher volatility than the general market. Investors in South Africa should be aware that AMC remains a highly active and speculative stock, with returns that can fluctuate rapidly.

Our complete analysis of AMC Entertainment stock

Having thoroughly examined AMC Entertainment Holdings’ latest quarterly results along with three years of stock market performance, our proprietary approach synthesises a spectrum of data: fundamental trends, technical signals, sector context, and peer analysis. This data-rich review uncovers constructive signals that challenge the prevailing consensus. So, why might AMC Entertainment stock once again become a strategic entry point into the global entertainment and consumer discretionary sector in 2025?

Recent Performance and Market Context

AMC Entertainment (NYSE: AMC), the world’s leading cinema operator, currently trades at $3.42 per share (as of 30 May 2025), translating to a market cap of $1.5 billion. While the stock has experienced a 19.15% decline over the past year and softened by 6.2% over six months, such retracements are not unusual in a sector recalibrating after pandemic disruptions. Notably, the Memorial Day weekend 2025 saw AMC set new records in both revenue and foot traffic—a testament to enduring consumer demand for premium cinema experiences even amid fluctuating consumer spending trends.

On the sector front, the entertainment industry benefits from a resurgent box office pipeline with several blockbuster releases scheduled for H2 2025. Internationally, recovering consumer sentiment, notably in both the US and key European markets, supports broader demand. South African investors will recognise parallels in consumer discretionary cycles where pent-up demand for experiential services can drive significant rebounds.

Despite a temporarily challenging environment, a positive undertone remains for well-placed operators such as AMC, particularly those investing in both footprint and technology to match evolving audience expectations.

Technical Analysis

• Relative Strength Index (RSI, 14 days): At 62.45, AMC hovers in a neutral, yet bullish-leaning zone, indicating upside room before overbought signals begin to appear.
• Moving Average Convergence Divergence (MACD, 12,26,9): At 0.18, the MACD slightly tilts to a sell signal, but this reflects shorter-term volatility rather than a decisive trend breakdown.
• Short- and Medium-Term Moving Averages: Both the 5-day ($3.38) and 20-day ($2.91) averages flash buy signals, while the 50-day ($2.87) further corroborates the constructive short-term setup. Even with the 200-day average at $3.83 offering resistance, the underlying updraft in nearer-term averages suggests that recent pullbacks may be losing momentum.
• Key Levels: The $2.45 mark represents an established 52-week support; the $5.96 high delineates robust upside potential if sentiment and flows continue to improve. The prevailing daily range ($3.33–$3.62) provides an attractive risk/reward profile for disciplined entries within this consolidation basin.

Bullish reversal potential is signaled by the convergence of strengthening short-term momentum and the proximity to historical supports—a configuration that favours nimble investors seeking early positioning.

Fundamental Analysis

Despite the headline year-on-year dip in revenue (Q1 2025: $862.5 million, –9.3% YoY) and the reported net loss ($202.1 million), there are clear indications of operational resilience:

• Earnings and Revenue Surprises: Both EBITDA and revenue for the latest quarter exceeded Wall Street expectations by 4.92% and 2.81% respectively, underscoring management’s ability to outperform even amidst sector challenges.
• Improved EPS Trajectory: Loss per share improved notably to $(0.47), up from $(0.62) a year earlier, demonstrating positive cost discipline and a shift toward operating leverage as attendance recovers.
• Valuation Perspective: While AMC remains in a loss-making phase and lacks a calculable P/E, its “market leader” status and extensive global footprint (900 theatres, 10,000 screens) underpin a premium to most regional peers. Compared to smaller rivals, AMC’s scale and brand continue to deliver higher customer throughput and diversified revenue streams—including from upgraded food and beverage offerings and innovative experiences.
• Strategic Expansion and Innovation: Ongoing investments in premium formats (Signature recliner seating, enhanced F&B) and high-margin loyalty programmes fortify AMC’s competitive moat—critical as the sector pivots towards differentiated in-theatre experiences.

The fundamentals thus justify renewed interest, especially for investors able to look past temporary losses and focus on forward-operating leverage and strategic execution.

Volume and Liquidity

Robust liquidity remains a key strength for AMC:

• Consistent Trading Volumes: With an average of 10.1 million shares traded daily over the past 65 days, AMC provides an active and efficient market, ensuring ease of entry and exit for both institutional and private investors.
• High Public Float: With approximately 430.8 million shares freely floating, the stock’s liquidity supports dynamic price discovery, diminishing the risk of extreme dislocations often present in less liquid small caps.

Sustained volumes mark tangible market interest, with episodic surges confirming the share’s ability to attract capital in response to news or sector-wide catalysts.

Catalysts and Positive Outlook

Several bullish catalysts and a constructive outlook amplify the case for inclusion of AMC in a forward-looking entertainment equity portfolio:

• Strong Upcoming Film Slate: The H2 2025 calendar is stacked with globally anticipated releases, historically known to trigger significant spikes in attendance and ancillary revenue.
• Premiumisation and Customer Engagement: Expansion of AMC’s Signature recliner seating and a differentiated premium offering positions the company at the forefront of “cinema as experience,” appealing to both younger audiences and high-value customer segments.
• Tech and Service Enhancements: Innovations in digital ticketing, mobile-based loyalty, and food service further entrench the brand’s leadership in the experiential sector.
• Renewed Momentum in Live and Alternative Content: Event cinema, esports, and alternative programming diversify revenue and offset cyclicality.
• Sustainability and ESG Commitment: Ongoing investments in energy efficiency and community engagement resonate with global investors’ environmental and social priorities.

Within a global context of rising discretionary spending and ongoing investment in leisure infrastructure—phenomena increasingly mirrored in South Africa—AMC stands to benefit from sustained sector tailwinds.

Investment Strategies

Investors may contemplate various strategic timeframes for AMC positioning:

• Short Term (coming 1–3 months): Attractive entry points are visible near current price consolidations, with technical indicators suggesting potential for a bullish move if recent support bands ($2.45–$3.00) remain intact and positive news flow sustains.
• Medium Term (6–12 months): The upcoming blockbuster slate and strengthened customer engagement initiatives could deliver operational surprises. Positioning ahead of Q3 and Q4 box office periods may capture above-average seasonal gains.
• Long Term (1+ years): For investors able to look through current losses, AMC offers deep optionality on both the rebound of cinema demand and the company’s capacity to innovate beyond traditional models—a compelling play on the future of consumer experience-based spending.

For all horizons, key technical levels ($2.45 support, $5.96 resistance) and upcoming earnings or attendance milestones should inform disciplined position sizing and risk control.

Is it the Right Time to Buy AMC Entertainment?

In summary, AMC Entertainment combines sector leadership, marked operational improvements, and promising bull catalysts both fundamental and technical. The stock’s pullback has recalibrated valuation to levels where positive earnings surprises, robust trading flows, and constructive technical momentum point toward a new bullish phase. Amid a resurgent box office and ongoing strategic innovation, the company appears poised to capture growth both locally and internationally.

For investors searching for exposure to a global entertainment champion, with the resilience to navigate sector volatility and the ambition to define next-generation cinema, AMC Entertainment certainly seems to represent an excellent opportunity worthy of serious consideration—at what could well be the beginning of an upward cycle.

Ultimately, as industry tailwinds and company-specific catalysts align, AMC presents a compelling case for those seeking a dynamic entry into the evolving entertainment sector. The current context offers a window of opportunity for investors with conviction and a long-term horizon.

How to buy AMC Entertainment stock in ZA?

Buying shares of AMC Entertainment Holdings, Inc. online is straightforward and secure when you use a regulated broker in South Africa. Whether you want to own the shares outright (spot buying) or speculate on price movements using Contracts for Difference (CFDs), you can get started in just a few steps from your computer or mobile. Spot buying lets you become a shareholder, while CFD trading allows you to trade with leverage—potentially magnifying gains or losses. Each has its own risks, fees, and advantages. For help choosing a broker, check out our detailed comparison further down the page.

Spot Buying

A spot (or cash) purchase means you buy real AMC Entertainment shares in your name—you become a direct shareholder and benefit if the share price rises. Most SA brokers offering access to US stocks charge a flat commission per order, often ranging from R75 to R160, plus a small spread. For example, if AMC shares are trading at $3.42 (about R63 at an exchange rate of 1 USD = 18.5 ZAR), a R19,000 (~$1,000) stake allows you to buy roughly 292 shares, factoring in a typical R95 brokerage fee.

Example: Spot buying with AMC shares

Gain scenario: If AMC's share price rises by 10% to around $3.76 (R69.40), your holding would now be worth about R20,900.
Result: That’s a R1,900 gross gain (+10%) on your investment, before fees and exchange rate movements.

Trading via CFD

CFDs (Contracts for Difference) let you trade on AMC Entertainment's share price without owning the shares directly. Instead, you open a position with a broker, putting up a deposit (margin), and can use leverage (often up to 5:1 or more). Rather than a fixed commission, fees come via the spread (difference between buy/sell prices) and overnight financing charges if you hold positions longer than a day. For example, with a R19,000 ($1,000) deposit and 5x leverage, you control R95,000 ($5,000) worth of AMC shares.

Example: CFD trading with AMC

Gain scenario: If AMC’s price increases by 8%, your total exposure rises by 8% (R7,600 gain). With leverage, your profit is R7,600 on R19,000, equating to a 40% return (excluding costs).
Remember: Fees and risks are higher; losses can exceed your initial deposit if the price drops, especially with leverage.

Final Advice

Before investing in AMC Entertainment, compare brokers carefully: fees, currency conversion rates, trading platforms, and regulatory protections all vary. The best approach depends on your goals—whether you want long-term ownership (spot buying) or short-term trading opportunities with leverage (CFDs). For a detailed breakdown of leading South African brokers, see our comparison tool further down the page, and always invest responsibly.

Our 7 tips for buying AMC Entertainment stock

The latest news about AMC Entertainment

AMC Entertainment exceeded analyst expectations for both revenue and earnings in Q1 2025. The company reported revenue of $862.5 million, surpassing consensus estimates by 2.81%, and earnings per share also outperformed projections by 4.92%. This indicates effective cost management and operational resilience despite a year-on-year drop in revenue. While the net loss remains significant, the narrower loss per share compared to the previous year reflects gradual financial improvement that may inspire renewed confidence among institutional investors, including those in ZA monitoring offshore entertainment sector holdings.

Technical indicators have shifted to a short- and medium-term bullish outlook for AMC's stock price. Moving averages over 5, 20, and 50 days all signal a potential buy, with the price staying above these levels, suggesting upwards momentum. The Relative Strength Index (RSI) at 62.45 is neutral, and although the longer 200-day moving average suggests caution, these signals may encourage active investors in South Africa to consider short-term opportunities, especially those active in international equity trading or thematic funds targeting turnaround plays.

AMC set attendance and revenue records during the Memorial Day weekend, reflecting robust consumer demand. The strong uptick in both metrics during this key holiday period highlights renewed interest in cinema experiences, which is supportive of the company’s revenue base. This positive development comes as global box offices, including emerging markets such as South Africa, track US theatrical trends closely for leading indicators. While AMC does not have direct operations in ZA, this strength may positively impact perceptions of the broader cinema industry, benefiting local partners and franchisees.

Major analyst firms have revised AMC’s target prices upwards, signaling stabilizing sentiment. In the last week, Texas Capital initiated coverage with a “Hold” and a $3.00 target, while Citigroup raised its target to $2.60, maintaining a cautious stance but recognizing improved fundamentals. These moves reflect acknowledgement of operational progress and may guide South African portfolio managers benchmarking against global entertainment peers or holding indirect exposure through US-focused vehicles.

Premium formats, loyalty programmes, and anticipated film releases are providing visible future catalysts for AMC. The company’s investments in luxury seating, expanded food offerings, and enhanced membership schemes position it to capitalize on blockbuster releases expected in the coming months. These initiatives demonstrate a commitment to customer experience and revenue diversification—signals that typically resonate with emerging market investors seeking growth and innovation in global consumer stocks. For ZA-based analysts, these strategies signal resilience and adaptability, traits valued in the current volatile environment.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.