On May 27, AMC Entertainment (AMC), the leading movie theater chain, witnessed a surge of 23.8% in its share price. The spike followed AMC’s announcement of a historic Memorial Day weekend performance. Over 7 million moviegoers flocked to AMC theaters from Thursday through Monday, marking AMC’s third-best revenue performance in over a decade.

Lilo & Stitch dominated with $183 million over the four-day weekend, while MISSION: IMPOSSIBLE – THE FINAL RECKONING secured $77 million. Final Destination Bloodlines grossed $23.9 million, Thunderbolts* added $11.8 million, and Sinners garnered $11 million.

Looking ahead, with a promising lineup of potential blockbusters slated through 2025 and into 2026, AMC anticipates sustained robust box office performance. However, let us see if investors will find equal enjoyment in holding onto AMC’s shares.

About AMC Stock

AMC Entertainment (AMC) stands as a major player in the movie theater space. With a footprint that spans roughly 870 theaters and 9,700 screens worldwide, the company commands a market cap of $1.5 billion, underscoring its significant presence in the industry.

In the last 52 weeks, AMC stock slipped by nearly 29%, a clear sign of the pressure building within the sector. But momentum shifted sharply. A record-breaking Memorial Day holiday turned heads and brought AMC roaring back into the spotlight. Over just the past five days, the stock has jumped 19%.

From a valuation perspective, AMC appears attractively positioned. The stock currently trades at 0.37 times sales, offering a notable discount compared to both its own five-year average and the broader industry benchmark. For investors, this could signal a compelling entry point.

A Closer Look at AMC’s Q1 Earnings

AMC stepped into the earnings spotlight on May 7 with its Q1 2025 results, revealing a challenging start to the year. The company’s revenue slid 9.3% year over year, settling at $862.5 million, just shy of the $868.2 million analysts had expected. Operating losses deepened to $145.9 million, marking a 34.6% increase from the same period last year. 

The adjusted net loss widened by 22.2%, totaling $250 million for the quarter. However, there was a silver lining. Adjusted loss per share came in at $0.58, beating Wall Street’s forecast of a $0.61 loss. As of March 31, AMC held $378.7 million in cash and cash equivalents.

Attendance figures mirrored the revenue dip, declining 10.1% to 41.9 million. Yet Adam Aron, chairman and CEO, offered a pointed perspective. He warned against drawing hasty conclusions, noting that Q1 2025 was an outlier, with the lowest domestic box office from January to March since 1996, excluding the pandemic’s direct impact.

Encouragingly, the tide has turned. April’s box office performance doubled year over year, and May has been following suit. AMC’s management remains bullish on strong moviegoing demand through the rest of 2025 and into 2026. 

Analysts echo that optimism, forecasting Q2 loss per share to narrow 83.7% to $0.07, with full-year 2025 and 2026 losses expected to slim down 46.9% and 61.8% to $0.68 and $0.26, respectively.

What Do Analysts Expect for AMC Stock?

Wall Street has pinned an overall rating of “Hold” on AMC, signaling a wait-and-watch approach rather than a call to arms. Of the seven analysts tracking the stock, six advise to “Hold” onto existing positions, suggesting it is best to stay the course for now. One analyst, taking a more bearish route, has tagged the stock with a “Strong Sell.” 

Interestingly, AMC’s stock has already surpassed the mean target of $3.06.