Hollywood Reporter =- Woe unto those who have owned stock in movie theaters this summer, as their investments have been thrashed even in a bull market, the impetus being lousy attendance in the past three months.
The largest chain, AMC Entertainment, with 11,083 screens in 1,009 theaters, has been hit hardest, its shares dropping a dramatic 45 percent since Memorial Day while the Dow Jones Industrial Average has gained nearly 4 percent.
Regal Entertainment (7,379 screens in 566 theaters) has seen shares plunge 28 percent in the same time frame while shares of Cinemark Holdings (5,926 screens in 529 theaters) have dropped 18 percent.
Owners of Imax, which operates a network of 1,257 giant movie screens at theaters worldwide, watched their shares plunge 31 percent while owners of National Cinemedia, the company most responsible for putting advertising on movie screens, saw their shares shed 25 percent of their value since Memorial Day.
1 comment:
It's a combination of high movie theater prices and low wages. The people who historically have gone out to movies are the same people most pinched by low wages.
Post a Comment