Forget AMC Stock: This Entertainment Stock Offers Investors Much More
Investors have had their eyes glued to AMC Entertainment Holdings (NYSE: AMC) stock over the past few months as the stock price has grown an outrageous almost 30-fold year to date, skyrocketing from $2 at the beginning of 2021. It has all the exciting suspense you'd usually see on an AMC theater screen, but the excitement is not connected to its business.
The premise of the drama is that AMC stock is heavily shorted, which means a significant percentage of shares are "sold" by commercial investors. These short-sellers expect to buy the stock back when the share price tanks, pocketing the price difference. Retail investors have been pushing the price up instead, forcing a series of short squeezes for the investors. But it's more than that because many investors see real potential for the company to get back to growth as the economy reopens. This week there was evidence of that as the anticipated film F9 opened in the U.S. exclusively in theaters, reeling in $70 million in ticket sales over last weekend.
But if you're looking to buy a high-growth stock without the suspense, consider streaming company Roku (NASDAQ: ROKU).
Source Fool.com
