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Did free popcorn help skyrocket $AMC? Inside the rise of the latest "meme stock".

That's right, a big ol' bucket of free popcorn and a text message with Adam Aaron, AMC's CEO, is what a share of the stock can buy you. It's 2021 folks, and all things about investing and business are thrown out the window. In the latest finance-bro meme stock fiasco, AMC Theatres is back in the news after a major boost in the stock this past week.

When the pandemic hit, movie theaters were one of the first everyday lifestyle businesses to shut their doors. Even as a country begins to open back up, movies are still closed. This obviously hurt AMC imparticular, causing their stock to plummet. The pandemic caused a major collapse in revenue, almost to the point of insolvency. Then along came the retail traders, who rallied behind the stock, sending it to the moon and causing mass confusion to Wall Street and hedge funds.

Now AMC could also be tasked with some of the boosts. They stated Thursday morning that they were going to sell 11.5 million shares while also completing its stock offering, raising $587.4 million in additional capital. This could also lead to the stock dropping, as a warning was issued with this move. Normally, this unusual strategy results in the selling of shares directly into the open market, which can deploy major slumps. The stock began to fall, but then sharply rose back up. The CEO also announced that AMC has run out of shares. They are officially out and won't issue any more. However, they do have $2 Billion in cash in the bank, and are looking to grow, and are in the talks with acquisitions. Most of its liabilities sit at 2026 maturities and gives them 5 years of pure growth power. Either way, the madness continues.

Overall, this is just a testament to how impactful the retail investor can really make. These online forums like WallStreetBets and anything on Fin-Twitter or Fin-Tik-Tok can absolutely boost a stock, allowing online fandom frenzies can pump up struggling companies. AMC revealed that over 80% of the company is now owned by these retail investors.

Neither here nor there, you cannot deny how impressive the rise of this meme stock. Everyone was hyping up GameStop, but AMC is sneakily stealing the show, no pun intended. This week, the stock was up over 140%. Over the year? Well, how about a whopping 2,900%. To put it in perspective, $AMC's market cap in January was $450 million. After today's trading, it is now valued at $29 billion. Wow... If you invested in $AMC, hats off to you, hopefully, you made your money and dipped.


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