AMC Continues to Ride Social Media Hype as Share Prices Skyrocket to 50% Increase

The hashtags #AMCSqueeze and #AMCtothemoon have been trending heavily the past week on Twitter.

learn more about Emily Rella

By Emily Rella

Kevin Winter | Getty Images

The power that social media has over the stock market can be astonishing at times, with viral jokes to boost cheap shares seeing tangible results in the market.

One company seeing an astonishing boost from Reddit and Twitter is AMC, whose stock has increased 563% since the beginning of 2021.

The hashtags #AMCSqueeze and #AMCtothemoon have been trending heavily the past week on Twitter, their purpose being to generate as many small stock buyers as possible to force out big-time investors.

A popular Reddit group of investors who call themselves the "apes" have also been generating buzz on the r/wallstreetbets subreddit by buying up as many short shares as they can and urging shareholders not to panic-sell as the stock prices head towards record highs — the highest of which was earlier this year when AMC hit $20 a share.

Related: 5 Robinhood Stocks To Watch Right Now

The social media craze has become so powerful for the brand that AMC Entertainment CEO Adam Aron even returned to Twitter himself, tweeting out memes that his supporters have made of him or praise to his shareholders:

"We work for them. I work for them," Aron said of AMC's shareholders on an earnings call.

The entertainment company's share price has skyrocketed over 50 percent in the past two weeks, with the valuation most recently hitting $14 per share.

Of course, this rise can be partially attributed to the loosening pandemic restrictions, which will allow more movie theaters to reopen and more people buying tickets to attend shows.

But Wall Street experts aren't predicting long-term success for shareholders.

Related: AMC Shares Pop Nearly 24% As More Cash Flows In

In an earnings call in early May, AMC cited around $575 million in losses for Q1, which is expected to continue as the year goes on.

Top analysts believe that the company "won't return to profitability until 2024 at the earliest," CBS News reported.

Either way, it looks like the apes aren't going down without a fight.

Related: 'Godzilla vs. Kong' Destroys Box Office, Signals Return of Movie Theater Business

Emily Rella

Entrepreneur Staff

News Writer

Emily Rella is a news writer at Entrepreneur.com. Previously, she was an editor at Verizon Media. Her coverage spans features, business, lifestyle, tech, entertainment, and lifestyle. She is a 2015 graduate of Boston College and a Ridgefield, CT native. Find her on Twitter at @EmilyKRella.

Related Topics

Editor's Pick

The Dark Side of Pay Transparency — And What to Do If You Find Out You're Being Underpaid
Thinking of a Career Change? Here Are 4 Steps You Can Take to Get There.
A Founder Who Bootstrapped Her Jewelry Business With Just $1,000 Now Sees 7-Figure Revenue Because She Knew Something About Her Customers Nobody Else Did
Everything You Need to Know About Franchise Law
Growing a Business

Scaling Made Easy: How to Scale Your Business like a Fortune 500 Company

Once you have the night-vision skills of Fortune 500 restaurants, scaling becomes effortless. Here are 3 ways to scale, hidden in plain sight.

Marketing

Streaming TV Is the Future of Advertising — Without Breaking the Bank

Today's consumers expect personal, impactful ads. There's an advertising method that can get you there for half the price, making it the next frontier in digital advertising.

Business News

'Crying Northwestern Kid' Turned His Viral Fan Moment Into a Successful Harvard Admissions Essay. He Says the Experience Taught Him About Empathy.

Six years ago, Phillips was watching No. 8 Northwestern take on No. 1 Gonzaga during March Madness when he became a meme.

Branding

An Introvert's Guide to Building a Personal Brand

Uncovering your personal brand does not require extroverted personality traits. Here are a few tips for introverts who want to uncover theirs.