AMC Entertainment (NYSE: CMA) the stock fell after its 14th consecutive quarterly loss, although the cinema chain reported better-than-expected results results.
CEO Adam Aron also added that according to AMC’s projections, the global box office won’t return to pre-pandemic levels until 2024 or 2025, at the earliest. However, the CEO said of the company’s earnings release:
“With more major films to come in 2023, we are very confident that our multi-year recovery will continue to show tremendous progress this year.”
In the hope of a multi-year recovery, investors are turning to other means, such as artificial intelligence (AI), to help predict the price of actions as AMC for the end of 2023.
Finbold has compiled the projections made by CoinPriceForecast’s automatic self-learning technology for estimate the price of the cinema chain for the end of 2023. According to the latest forecast, retrieved by Finbold on March 1, AMC’s share price will climb to $8.29 by the middle of 2023 and reach 11 $.08 by the end of the year, marking a 55% increase from the time of publication to the end of the year.
The stock initially climbed at the market open to $8.41 before crashing later in the day to close at $7.14-$0.47 (-6.18%) for the session. Although the AMC is still up +$0.76 (11.91%) in the past 5 days and +$3.21 (81.68%) YTD.
Over the past month, AMC has traded between $4.39 and $8.53, which is quite wide. It is currently trading near the top of this range. AMC is also not offering a high quality setup at the moment as the price movement is a bit too volatile to find a good entry and exit point. So, it’s probably a good idea to wait for consolidation first.
That said, traders will find support at $4.72 from a trendline in the daily timeframe. And a resistance zone ranging from $7.61 to $7.62 is formed by a combination of several trendlines.
AMC said its adjusted net loss for the fourth quarter was 14 cents per share, contrasting with the market’s expected loss of 21 cents per share. Actual revenue of $990.9 million was also higher than the forecast figure of $977.6 million.
Apart from AI stock price prediction, it is also essential to weigh in the minds of industry experts who analyze the stock daily. Wall Street analysts have given AMC a consensus “Sell” rating of 7 analysts based on its performance over the past three months.
The average price forecast for next year is $2.39; the target indicates a decline of -66% from its current price.
On March 14, AMC will ask its shareholders to vote on whether or not to allow the company to increase the number of common shares it is authorized to issue and to reverse stock split.
If shareholders vote in favor of the proposal, each APE share has the potential to be converted into one common share, which would reduce the value of the common shares. Aron asked shareholders to vote “yes” in the press release.
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