What's Going On With AMC Entertainment Stock?

AMC Entertainment Holdings Inc AMC shares are trying to push higher Tuesday after rising nearly 7% on Monday after the company's CEO highlighted upside for movie theaters following news of a tentative writers strike deal.

What Happened: The Writers Guild of America reached a tentative agreement with entertainment companies 146 days into a strike that has resulted in multiple production halts.

The deal includes compensation increases for streaming content, studio concessions on minimum staffing for T.V. shows and guarantees related to AI's role in the industry.

Following the news of an impending agreement, AMC CEO Adam Aron highlighted the benefits for movie theaters.

"The world’s movie theatres can celebrate. Extremely good news that progress is being made," Aron said in an X post. 

Monday's gains gave shares some much needed relief as the stock has faced heavy selling pressure over the last few months. 

The company enacted a 10-to-1 reverse stock split in late August and converted preferred equity shares (APE units) into common stock. AMC also entered into an agreement to sell up to 40 million shares in an at-the-market offering at the beginning of the month, which added to weakness.

What Else Is Going On: On Tuesday, AMC announced that the Taylor Swift Eras Tour concert film will go global. The film will also begin playing at every AMC theater in the United States, beginning Oct. 13. 

AMC's distribution partners are working to reach agreements with operators worldwide to expand showing plans. 

Tickets outside the U.S. are set to go on sale on Tuesday and prices will vary by country. When tickets became available in the U.S. at the end of August, the concert film set a single day record for ticket sales revenue, the company said. 

AMC Price Action: AMC shares were up 0.49% at $8.18 at the time of publication, according to Benzinga Pro.

Photo: Dave Dugdale from Flickr.