There are two ways to trade AMC Entertainment (AMC).
One, we can trade the short-term momentum of the Barbie, Oppenheimer, and Mission Impossible films. Then, once the momentum fades and investors seek the next big blockbuster film of the year, which they may not find, we can also trade the short side of AMC, too.
Inevitably, the AMC stock will pull back and resume its downtrend with limited visibility, high cash burn, and lackluster earnings.
Any time there’s a blockbuster film on the way, AMC is a good short-term bet. But once the momentum fades, so will the stock. Even Barbie can’t keep this stock up. I’d love to be optimistic about AMC, but we have to face the facts with it. I’m trying to make you money.