Shares of AMC Entertainment Holdings Inc. (AMC) surged 5.8% in premarket trading, putting them on track for a sixth-straight gain to the highest close in more than four months. The "meme" stock had already rocketed 52.3% as it rose every day last week, to post the biggest weekly gain since it soared 83.4% during the week ended June 4, 2021. The rally comes as the movie theater operator announced last week it will issue a special "APE" dividend, in the form of AMC Preferred Equity Units that will trade on the New York Stock Exchange. Separately, J.P. Morgan analyst David Karnovsky said in a note to clients Monday about fellow movie theater operator Cinemark Holdings Inc. (CNK) that recent "robust domestic box office results" have made him "incrementally more constructive" about the potential recovery beyond 2022. Meanwhile, fellow "meme" stock GameStop Corp.'s (GME) gained 2.8% premarket, putting them on track for a ninth-straight gain, which would be the longest win streak since since it rose for 10 straight days through March 28, 2022. Shares of AMC have lost 18.5% year to date and GameStop has advanced 7.9%, while the S&P 500 has shed 13.0%.
(END) Dow Jones Newswires
August 08, 2022 09:12 ET (13:12 GMT)
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