AMC on the Rise as Vaccine Tailwinds Breeze In

Moderna's vaccine announcement is boding well for reopening stocks today

Digital Content Manager
Nov 16, 2020 at 10:25 AM
facebook twitter linkedin

Stocks linked to a potential economic reopening are having their day in the sun today, bolstered by news that Moderna's (MRNA) experimental COVID-19 vaccine has proven to be 94.5% effective during a late-stage trial. One such stock is AMC Entertainment Holdings Inc (NYSE:AMC), which is up an impressive 16.8% at $3.47 in a bid to dig itself out of penny stock territory. 

Last Friday, the shares were attempting to reverse course, snapping a four-day losing streak sparked by rejection at the 100-day moving average. The 20-day moving average, which AMC toppled during last Monday's surge, served as a net for said pullback. For the year, AMC is still down a little over 60%. 

This alarming year-to-date deficit has been enough to spook analysts, with seven "hold" ratings and two "strong sell" ratings on the books. What's more, the 12-month consensus price target stands at just $2.15 -- a 27.6% discount to last Friday's close. 

The stock has been heavily shorted of late, too. In fact, short interest rose 11.1% in the last two reporting periods, and now the 23.89 million shares sold short make up and eyebrow-raising 45.9% of the stock's available float, or two days to cover at AMC's average daily pace of trading. 


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 


300x250 - Banner 3 - v1