A sign in front of the AMC Theaters in Chicago, Illinois, January 27, 2021. AMC Entertainment’s stock has more than quadrupled today as investors continue to buy stocks that have been badly sold short.
Scott Olson | Getty Images
Insider sales activities in AMC Entertainment The recent explosive rally triggered by enthusiastic retail investors has risen more than ever.
According to InsiderScore’s analysis of regulatory filings, a total of seven insiders in the cinema chain have sold a portion of their stake since May 28, when the latest leg-up began, from $ 27.42 to $ 62.67. Sold in a wide range of dollar prices. Stock prices have more than doubled since that day, with the last transaction at $ 57.70 per transaction.
According to InsiderScore, six of them announced sales on Friday after the market closed, and one was announced at the end of May.
“Obviously, AMC insiders don’t want to miss the opportunity to monetize stock-based compensation at a valuation that most people couldn’t imagine just a few months ago,” said Insider Score. Ben Silbermann, who is responsible for the investigation, said.
A total of nine insiders were sold this quarter and three were monetized in the first quarter, according to InsiderScore. According to the InsiderScore, this is comparable to having no sellers across 2020 and just three from 2017 to 2019.
In particular, CEO Adam Aron, who joined the company in early 2016, has never sold his AMC shares.
AMC rose 160% in May, then rose more than 120% in June alone, and the rate of increase in 2021 exceeded 2,600%. Shares were well above January’s highs among GameStop trading enthusiasts, hitting a daytime high of $ 72.62 last week.
Insiders must submit transactions for the company’s common stock and derivative securities to the Securities and Exchange Commission within two business days of the trading date.
In a massive backlash last week, AMC quickly sold 20 million shares in two transactions, generating about $ 800 million in cash.
“Between these two transactions, we raised over $ 800 million in cash. Not to fill my pocket or the pockets of people working at AMC, but to strengthen AMC and better for AMC. To put that money into AMC’s treasure trove to help and grow the company, “Aaron said in a YouTube video last week.
Aaron Signaled He wants to sell up to 25 million more shares as the company is approaching the charter-permitted limit on the number of issued shares. From January to May, AMC raised approximately $ 1.6 billion in cash from the sale of shares.
The company has issued approximately 501 million shares, leaving approximately 46,000 shares for future issuance.
— CNBC’s Sarah Whitten contributed to this article.
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AMC insider sales increase as meme stocks rise in the retail wave
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