What's Going On With AMC Shares Wednesday?

AMC Entertainment Holdings, Inc. AMC stock is trading higher on Wednesday after Goldman Sachs disclosed a stake in the company.

The Details: Through a 13G filing with the Securities and Exchange Commission (SEC), Goldman revealed a 6.5% stake in AMC as of December 31. The stake is equal to roughly 24,420,283 shares.

Back in early December, AMC entered into a sales agreement with Goldman, allowing it to sell up to 50 million Class A shares directly to the firm. The company said it planned to use the proceeds from the agreement to strengthen its balance sheet and reinvest in its core business.

What Else: AMC is expected to release its earnings for the 2024 fiscal-year fourth-quarter on February 25. Analysts estimate a loss of 18 cents per share and revenue of $1.33 billion.

Ahead of earnings, Roth MKM analyst Eric Handler upgraded AMC from a Sell rating to a Neutral rating and lowered the price target from $4 to $3.25.

How To Buy AMC Shares

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in AMC's case, it is in the Communication Services sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

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AMC Price Action: At the time of writing, AMC shares are trading 6.04% higher at $3.50, according to data from Benzinga Pro.

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