What does "short thesis would be officially dead" mean?8K filings snippet is out, to the FUDDERS of 4.5 million dilution, NOT!
AMC has authorized a total of 1 billion APES to be issued, so APE can only be dilluted by another 485 million. They can issue a total of 5 billion.
They have NNOOOOO plan on releasing any more than that calender year 2022 or 2023.
If they sold those 485 million APE onto the market (over time) at $5 they can get themselves completely out of debt, short thesis would be officially dead.
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What does "short thesis would be officially dead" mean?
Now that I understand it better, I'll hold longer and give APE a chance. Thanks.As in the reason to short the stock.
The shorts that have been stuck since the covid era tried to make AMC completely bankrupt, they pinned it down under $2 and since AMC has has proven not only do people want to still go to the movies rather than sitting home on NETFLIX, but Adam Aaron has completely changed AMC from a Movie Theater company to a transnational conglomerate.
That right there proves the short thesis to be dead, but AMC still has a debt problem which they have been slowly re-negotiating and paying down debt. Once this debt is paid off (with the help of APE since shareholders dont want AMC dilluted) along with the improving fundamentals of the company and AMC being a profitable company, the short thesis is completely dead.
Now that I understand it better, I'll hold longer and give APE a chance. Thanks.
Guess we'll see what happens.When do the AMC Preferred Equity units start trading and what will the price of the AMC Preferred Equity
units be?
• AMC Preferred Equity units are expected to begin trading on the NYSE on the ex-dividend date of
August 22, 2022. The AMC Preferred Equity units are expected to begin trading on the NYSE
sometime between the market opening at 9:30am EDT and 12:00pm EDT on August 22, 2022.
• The price of the AMC Preferred Equity units will be determined by buyers and sellers in the open
market.
• Because the AMC Preferred Equity unit is designed to have the same economic value and voting
rights as a share of common stock, in theory, the common stock and AMC Preferred Equity unit
should have similar market values and the impact of the AMC Preferred Equity unit dividend should
be similar to a 2/1 stock split.
• An investor owning one share of common stock on August 19, 2022 will hold one share of common
stock and one AMC Preferred Equity unit on August 22, 2022.
• An investor should therefore expect that the price of a stand-alone share of common stock logically
should at least initially decline, however that investor’s economic interest will be the sum of the price
of a share of common stock plus the price of an APE.
Guess we'll see what happens.
do you have any other option ? lol
Sell now? Loldo you have any other option ? lol
Sell now? Lol
Some fast and loose assumptions here though.... even if AMC was totally out of debt tomorrow it doesn't end the short thesis. If the movie business model loses money every year, or begins to lose money in the future and becomes unprofitable/unsustainable... it still eventually goes bankrupt. There are shorts who believe with home streaming the big movie theaters can't/won't survive and are betting against it (shorting) current debt or not.
On a separate thought - if everyone who has an AMC share gets an extra APE share.... and the basic assumption would be that it acts like a 2/1 split so you have more shares at lower price per share giving you the SAME net equity you are holding.... how does that change the current AMC debt at all?
The only possible "game changer" here would be if this gimmick flushes out any synthetic shares or other illegal shenanigans.... I hope
Some fast and loose assumptions here though.... even if AMC was totally out of debt tomorrow it doesn't end the short thesis. If the movie business model loses money every year, or begins to lose money in the future and becomes unprofitable/unsustainable... it still eventually goes bankrupt. There are shorts who believe with home streaming the big movie theaters can't/won't survive and are betting against it (shorting) current debt or not.
On a separate thought - if everyone who has an AMC share gets an extra APE share.... and the basic assumption would be that it acts like a 2/1 split so you have more shares at lower price per share giving you the SAME net equity you are holding.... how does that change the current AMC debt at all?
The only possible "game changer" here would be if this gimmick flushes out any synthetic shares or other illegal shenanigans.... I hope
Some fast and loose assumptions here though.... even if AMC was totally out of debt tomorrow it doesn't end the short thesis. If the movie business model loses money every year, or begins to lose money in the future and becomes unprofitable/unsustainable... it still eventually goes bankrupt. There are shorts who believe with home streaming the big movie theaters can't/won't survive and are betting against it (shorting) current debt or not.
On a separate thought - if everyone who has an AMC share gets an extra APE share.... and the basic assumption would be that it acts like a 2/1 split so you have more shares at lower price per share giving you the SAME net equity you are holding.... how does that change the current AMC debt at all?
The only possible "game changer" here would be if this gimmick flushes out any synthetic shares or other illegal shenanigans.... I hope
AMC is no longer a movie company. Movies are just part of its business model and they will keep expanding beyond that. They also have a billion+ cash on hand to keep investing already not including the potential of APE.
AMC can sell off APE and raise money, pretty simple really. Shareholders won’t allow AMC to be diluted. APE can.
Perhaps Adam’s idea with APE is that initially AMC loses value when APE is released, but then AMC goes back up in value while APE retains or even goes up in value. Maybe they assume AMC share will get back up to pre APE prices post APE release without APE losing value. The company board then sells their APE shares towards debt or obtaining other theaters. Adam believes he is improving the company fundamentals, and believes the share price will continue to reflect that over time.
Question, if you know the answer. Have movie theater chains always held more debt than profits since their inception?
AMC is a 100 year old company, so I guess they owe more money than the US national deficit!!! LOL
I remember they were posting better numbers than pre-pandemic levels, Netflix tanked, people are going to the movies, kiosks are very profitable. AMC (just the movie business0 is global and expanding, I remember not long ago they licensed to Saudi Arabia.
I dont see movie theaters going anywhere. Some will come, some will go, AMC's name branding alone is worth alot more now after what has happened the past couple years reason Im optimistic about the food and credit card business.
That’s not what I’m saying, I’m just wondering in general if theater chains have always operated in that manner, on credit, and that it isn’t a new phenomenon that AMC has debt; now I’m sure they have more debt than usual because of the last few years combined with SHFs shorting them, but that line of business seems like they are on credit anyways.
Man, do you sleep?Fuq AMC, I think I found another way.
"Life is too short to get rich slow"
I never forget what my grandfather told me, there are 2 types of people in life, there is the doer and the loser, which one are you?
- Tom Vu
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Got 4 gct shares out of 35 @12.25
Hopefully takes off like hdk
GCT + 181% currently
i want to sell one share at $48 which will give me back my investment amount and let the other 3 ride
Moon Market is doing live coverage of that.
Time for AA to spend more of his Billion cash on hand? I would love to have an AMC closer to mine, I never go to Regal, my A-list subscription is great.
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Scooped up a few AMC today to add to the stash.
I have an OTC up 218% today...... Its been a while for my portfolio
PHILWhat did you pick up, GCT?
Sheewwww....just check GCT, thats nice!!!What did you pick up, GCT?
Looks like worst case scenario for the temporary is happening. Get ready for AMC share price to be between 9 and 13 dollars a share next week.
Looks like worst case scenario for the temporary is happening. Get ready for AMC share price to be between 9 and 13 dollars a share next week.
BBBY
People were on stocktwits asking if they should get in at 20-25 during the rise. Many got demolished. And they may go bankrupt now.
if this happens .. whats the point of APE ?
ive said it before these dividends dont end up the way everyone makes it out be and just gives them more ammo for more capital and more to short forever
im going to be extremely pissed if it does 50/50 price ratio