AMC stock has experienced fluctuations over the past month, with recent prices stabilizing around 3.50 dollars. Although the year-to-date decline is still in double digits, the market has responded positively to its new marketing strategy, believing it to be one of the effective measures to enhance cash flow and stabilize customer base.
AMC announced that its Stubs free members will no longer be limited to enjoying half-price tickets only on Tuesdays; Wednesdays will also be fully included in the discount policy. This initiative covers all directly-operated theaters nationwide, aiming to increase midweek attendance, reduce seat vacancy rates, and thereby enhance revenue per screening room (RPS).
According to data, the overall box office in the first half of 2025 is expected to grow by about 15% year-on-year, but it has not yet recovered to pre-pandemic levels. AMC reported that its average attendance rate has decreased by 11%, partly due to a lack of moviegoers on weekdays. By expanding the number of half-price ticket discount days, the company hopes to stimulate the formation of regular movie-watching habits, thereby driving secondary consumption, such as beverages, popcorn, and other additional profit sources.
In the cinema industry, small and medium-sized theaters often attract local audiences with ticket price discounts, while chain companies like AMC focus more on membership systems and film resources. Currently, Regal and Cinemark have not followed suit with similar “two-day discounts,” giving AMC a slight advantage in ticket price competition.
However, this move also brings pressure on operating costs and gross profit margins. Some cinema staff need to extend working hours and increase cleaning frequency, coupled with falling ticket prices, which compresses the gross profit space. If AMC cannot compensate for losses through merchandise or membership upgrades, it may lead to pressure on profitability.
Affected by the news of the new strategy, AMC stock rose by 1.5% at one point, but failed to break through the key resistance level of $3.60. The market is still observing whether this favorable policy can lead to a significant increase in box office revenue, and subsequent financial report data will be a key basis for judgment.
For novice investors, it is advisable to closely monitor the weekly audience numbers and box office changes of AMC. If the data shows steady growth, it indicates that the strategy is effective, and one may consider buying on dips. If expectations are not met, it suggests that the marginal effect of the policy is weak, necessitating cautious operations. It is recommended to set technical stop-loss levels and continuously track its debt management and membership expansion situation.