AMC Investor Connect Shows AMC Likes To Be A Memes Stock
The CEO relies on the cult status of the theater company among retail social media investors. On Wednesday, CEO Adam Aron announced the
a new rewards program for
millions of shareholders, AMC Investor Connect.
The program is free for shareholders and is linked to the AMC Stubs Insider Rewards Program. Aron said on Twitter that the effort was aimed at communicating with shareholders often. It will offer special rewards, starting with a big free popcorn. It’s not exactly a new phenomenon – companies owned by Warren Buffett’s Berkshire Hathaway (ticker: BRK.A) have offered shareholder benefits in the past – but this effort follows an increase in social media sentiment in favor of AMC.
AMC (AMC) stock jumped nearly 90% on Wednesday and was halted at one point due to volatility. After the stop, the stock rose about 93% to $ 61.71, which would be its first record close since March 23, 2015, according to Dow Jones Market Data. The stock has skyrocketed over the past seven trading days, prompting a wider resurgence of these severely bypassed social media darlings.
Supply and demand factors such as short interest rates and option trading activity have influenced stock movements even like AMC
(GME) this year. Although the moves are not based on company fundamentals, AMC profited from its rise by selling millions of shares. This gave hope that the channel could last long enough to benefit from a wave of consolidation in theaters.
During last month’s earnings call, Aron hugged fans on the company’s social media. He announced that he would match a $ 50,000 donation from AMC to the Dian Fossey Gorilla Fund, a popular charity on the WallStreetBets Reddit forum. Reddit posters are called “monkeys,” posting memes and GIFs, like a scene in The rise of the planet of the apes where Andy Serkis’ character signs the phrase “Apes together: Strong”, a reference to the newly found collective power of individual investors in the stock market.
Aron’s direct calls to Reddit users are notable. In contrast, Ryan Cohen, the great
investor and future chairman of the board of the company, mainly stuck to cryptic Twitter messages that are open to interpretation. That, however, didn’t stop some GameStop fans from predicting major events based on frog emojis and GIFs. adult cartoons.
On the AMCStock Reddit thread discussing the news, some commentators didn’t want to take AMC money by grabbing free popcorn. User Rickblood23 came up with a solution: “Get the free popcorn and with that money buy chicken tendies,” they wrote. “Support the business and send a message. “
Write to Connor Smith at [email protected]