Movie Theater Stocks Fall Amid Comments From Amc Executive

While speaking at the Citi TMT West conference Tuesday night, AMC (AMC) CFO Craig Ramsey said “Look, the box office, while we could say was a disappointment, we maybe got a little ahead of ourselves as we were coming off 2018 as a really strong year and we had some expectations that we didn’t quite meet in 2019.”

On the negatives for 2019, Ramsey highlighted the trend that content providers are “becoming streamers.” People will increasingly not leave the home for viewing, added the executive.

“Everybody’s been saying it’s not going to be as good a year,” referring to 2020 expectations. Ramsey followed by adding, “Well, we’ll see. Clearly, it doesn’t look like, just in terms of the titles, like it’s going to be as strong.

That’s going to fit into this whole streaming dialogue as well.” PRICE ACTION; Shares of AMC Entertainment closed down over 7% on Wednesday to $6.62 per share.

PEERS CLOSE LOWER: Other movie theater stocks struggled, including Cinemark (CNK), which closed down over 5%, while IMAX (IMAX) finished 4.3% lower and Marcus (MCS) finished down over 5%.