Movie Theater Stocks Have Another Rough Weekend
The multiplex is dead these days. Theater operators across the country sold $48.5 million in ticket sales over the weekend. It's the second-worst weekend since the end of January, and it probably doesn't help that the only weaker showing just happened to be last weekend.
If you're AMC Entertainment Holdings (NYSE: AMC) or any of its rival exhibitors, you're feeling the pain behind the sharp deceleration of summer audiences after a promising start. After working so hard to get consumers back to the local multiplex, theaters have now had back-to-back weekends where roughly 1% of the population came out to the movies. The worst six weekends of the telltale summer season in terms of ticket sales just happen to be the last six weekends.
Momentum is problematic. Patrons have returned to their homes -- for now -- to stream first-run entertainment. The economy is showing signs of teetering. Shares of the leading theater chains are plummeting. There are good reasons to expect things to get better later this year, but for now it's difficult to get past the troublesome trend of weak ticket sale tallies.
Source Fool.com
