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AMC Rescued from $600M Debt After 'Meme Stock' Rally


30 January 2021, 9:03 am EST By
By now, almost the entire internet knows about the meme stock rally that had been happening, wherein a group of independent investors worked together through platforms like Reddit and helped raise the stocks of some struggling companies, notably GameStop and AMC and now, the latter had been given new hope as the meme stock helped save it from its $600M debt.
(Photo : Lorenzo Cafaro from Pixabay)
AMC is now free from its $600M debt through meme stock rally.
Meme Stock Rally Rescues AMC
In a report by Polygon, the stunning turn of events happened when a private equity firm called Silver Lake decided to convert the corporate bonds it held into AMC Entertainment Holdings stock. ....

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Daily Update: February 1, 2021


Subscribe on LinkedIn to be notified of each new Daily Update a curated selection of essential intelligence on financial markets and the global economy from S&P Global.
The meme stock moment affecting equity investing is more than just a situational phenomenon. The short squeeze that has sent the stocks of struggling businesses, namely the brick-and-mortar video game retailer GameStop and cinema group AMC Entertainment, soaring may permanently alter risk management and burst what many see as a market bubble.
The GameStop phenomenon will forever change how we look at short selling, Edward Moya, a senior market analyst at OANDA, told S&P Global Market Intelligence. The future of short selling will need to respect the power of the retail trader and realize that having a strong fundamental argument against is not reason enough to short … Short sellers have thrived in the past in exposing fraud or identifying extremely unjustified valuations, but now they will need to clea ....

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The Reddit GameStop Boom Proves We're in a 'Meme Stock' Bubble


is a column that explores what happens when business, the economy, and culture collide.
GameStop is a struggling, kind of boring, mid-size retailer stuck in a legacy business — selling physical video games. But it’s also pretty much the only company anyone on Wall Street is talking about right now after its stock rose 160% in a matter of hours on Monday morning to an all-time high of $159. (By day’s end, GameStop’s price had been cut by more than half, but that still left it up more than 300% this year and almost 3,000% from its 52-week low. And it was up another 15% at Tuesday’s open.) ....

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