Even though it’s been a couple of years since the meme-stock feeding frenzy, we’re still seeing occasional bursts of meme-like activity in several stocks.
When talking about meme stocks, AMC Entertainment Holdings Inc. comes to mind. However, according to Alicia Reese, VP of equity research at Wedbush, AMC is no longer considered a meme stock. “AMC has seemingly lost its meme status,” she said, highlighting the drop in share price. “The company is now trading at a more normalized valuation, even if still at the high-end of its pre-meme historic range.”
AMC’s shares ended Friday’s session at $6.65, a far cry from their high of $393.63 on June 2, 2021, during the meme-stock frenzy.
Alicia Reese also believes that in 2024, AMC will continue to issue pre-authorized shares to pay down its high-debt balance. As for GameStop, the company’s board of directors has recently approved a new investment policy, which has received mixed reactions.
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