AMC investors:
Although AMC beat estimates by quite a bit, this play is not about fundamentals. If it continues on this path, yes, fundamentals will continue to improve.
This play is about the 'SQUEEZE'
Hedge funds with the use of algorithms along with information from the banks, orchestrated short attacks against particular companies that they believed would not recover post pandemic. THE GOAL FOR HEDGE FUNDS WAS TO SHORT AMC INTO EXTINCTION and from this they would have reduced or eliminated the tax consequences and AMC may have been gone. The arrogance of the hedge funds is obvious. They decided that they would rid the market of AMC rather than allow supply and demand to dictate whether or not AMC should exist.
What they expected is not what occurred. AMC is an iconic destination place for those who enjoy seeing movies on a big screen in a social setting rather than cramped in the confines of their home. We have the large television with customized surround sound and i watched 15 kids watching their movies during the pandemic but it is not the same. They sat in a 600 square ft room with their friends watching movies and all agreed that it is much better getting out of the house and seeing movies in the theaters. With this being said, investors who caught on to what hedge funds were doing, began buying the stock in large numbers and from there
Hedge funds continued to short and when they found they were losing, they employed agencies such as the DTCC, SEC, FED, and others to help them fleece capital from the unsuspecting investors claiming to be on the side of the investors, were actually on the side of investors. The Agencies/Powers to Be turned a blind eye and in some cases provided the financial means for hedge funds to continue creating synthetic shares as they were informed that the retail investors were the ones hurting this market and of course, you are not going to go against the elite who 'pad their pockets' and allow them to live a lavish lifestyle but you are going to attack those who you feel have the least impact on your lifestyle, the common investor.
So, instead of giving up and closing out their shares a year ago, hedge funds continued to feel that they could fleece all of the capital from the common investor and walk away with billions, another win for white collar criminals and they would be heralded as saving the market.
Anyhow, hedge funds are still hoping that investors will get bored of AMC and move on. I am here for the duration.
I CAN WAIT
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