AMC Is Now Worth More Than Half the Companies in the S&P 500
(Bloomberg) -- The moonshot surge in the shares of AMC Entertainment Holdings Inc. has vaulted it into the ranks of some of the world’s most valuable companies.
The company has gone from a small cap to a large cap in the space of a few months. A 95% gain amid a retail-trading frenzy on Wednesday left the movie-theater chain with a market capitalization of $31.3 billion. That makes it more valuable than half of the companies in the S&P 500 Index.
AMC is now worth more than Tyson Foods Inc. and Delta Air Lines Inc. despite projections for the company to bring in a fraction of their revenues.
In the throes of the Covid-19 crisis that shuttered movie theaters across the world, AMC’s market value hovered under $500 million for much of last year. Infatuation with the stock among a horde of retail traders began to turn the company’s fortunes this year, a following its chief executive has embraced.
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