5 Burst results for "Eleven Million Shares"
The Tom Dupree Show
"eleven million shares" Discussed on The Tom Dupree Show
"Investors willing to pay what has almost become a spike in a war to to be able to shoot embrace all that cash that they really don't need in a sense. It's sort of beside the point. They're they're issuing a lot. Who knows once they get to stock issued if the price will hold up anywhere near. 'cause it's down forty percent today. Yeah so it's been all over the place. Last i saw it was only down. Fifteen percent But the good thing is if you're a long term investor in emc then the company's going to be flush with cash which you know if you bought the stock at ten dollars someone today maybe buys it at sixty dollars But the company would be able to use that cash and hopefully there buy back their stock or you know do something else but it to pay down debt. I think like eleven billion in debt and all those movies theaters. They built right or and acquired. And that's the other thing too. You know they they were running a a net loss prior to covid so they weren't turning prophet even before then but to your point adarsh. You've got eleven billion in debt. And how much are they plan on raising the so Eleven million shares So that'll be at you. Know i guess roughly six seven billion at sixty dollars a share. Okay right. yeah so you know you cut your debt load and half which you know buys you time. I think the problem is though from a fundamental perspective is. How do you wrap your brain around. What future profitability looks like to you know because even today you know at twenty twenty twenty eight billion market cap or whatever it is you know you're you're saying if you extrapolate that out to a twenty times earnings you know. Well they need to make a billion and a half almost and prophets right. Yeah so that that's where you have to to your point. you know. Try to figure out what future fundamentals all are and right now. It's not trading on that as more so as it is a short squeeze you know. We're gonna clean them out and it's all it's trading purely on supply and demand what you're gonna see down. The road is along squeeze but everything supply and demand. I mean there is nothing that's not supplant man ultimately so really you could talk about the fundamentals but the fundamentals are meaningless. It's all about supply and demand. What do people wanna pay for it today right. It has nothing to do with what it's worth or you know what's going on with the fundamentals. I mean ultimately the market is the market is fun the supply and demand. I mean you look at housing. Our neighbor's house sold for twenty percent over listing price in a day. It's not worth what it sold for. It is not actually it is it. is that day it is but fundamental you know the the building material. i mean that it's it's from a fundamental standpoint. it's not but supply and demand that day. It was all right. I'm gonna jump in on this real estate thing real quick. What the real estate agents are also seen as a result of that kind twenty five percent or twenty percent. whatever it was. She said then the houses if the people are not they're going to have to come with the cash difference because the house will not appraise house. Houses are praising way beneath what they're selling four in a lot of instances and it's creating a lot of busted deals you know in in the end result which didn't help anybody because it because the appraisers are praising them at all values or not like replacement value. How does that happen. Well the way it happens is one. The some of the appraisers are coming from outside of lexington. And so they're not they're not using the same metric so to speak. That's one way another way is they're comparing it to sales. That may be six months old. Which is our three to six months which is fair game and And then they're also they're gonna have to regulate how the appraisers are doing their jobs as well because the market is so wonky. Market demand determines value in most instances with real estate. The appraisers are controlling the market as well. I'll tell you what though that's comforting from a banking standpoint. I think that's one of the reasons. The appraisers are are skittish because of the the last big bus that really hurt a lot of financial institutions. So anyhow i i think. The market should be driven by the buy and sell. But that's you know my opinion and we're about ready for break. So i'm just gonna keep the microphones. Tom or you're gonna start thomas running the music. That's what popped up during the segment. But he's gonna turn it on again here in just a second or something. What will we got tom. Oh my.
What Goes Up
"eleven million shares" Discussed on What Goes Up
"For that hope. Hopefully i'll be able to come back and talk about that. Listen i think that there's again there's no shortage of resources out there. It's just a function of really struck. She lower cap for the past. Couple years. their corporate boardrooms around the world. They're seeing this. They're seeing the opportunity. There are looking for new supply projects. They're bringing supply online and it's going to offset it's just a question of whether it gets here soon enough for for some people in america stand clear of the craziest things we saw in markets. This week you know. Claire as kevin said there's no shortage of supply of resources in the world. You know there's also not a shortage of crazy things. I believe agree well supplied in that arena. So i want you to kick us off with the craziest thing you saw this week. So the craziest thing that i saw. We actually had a story out this morning. It was My colleague katie guy. Grefell road eggs and she's fantastic but it of course is about Amc and we saw that with amc recently had a regulatory filing on that later this morning and it talked about its intention to sell more than eleven million shares but it had this acknowledgement in the language And it it said that The stock is at the mercy of the retail. Mania was fundamentals played little role in determining its valuation of so just the fact that that made its way into an official regulatory of filing. I thought was was pretty crazy. The proceeds from the sale will be deposited with role. Redden bacher to pay for all of that and presumably it is i. I don't think we've had any of us have seen i mean i don't know the bar for crazy. Things keeps getting raised higher and higher. This this one though is is pretty good. I don't know. I don't wanna knock on wood headphones at home might get a pop in the air but knock on wood. We don't get any crazier than that. But kevin how about you. You see anything crazy. This week i'm going to get in trouble. If i kind of copy claire on this one not at all not at all out now. So so i. I saw something and it was amc but it was an amc nuance. That i think is interesting here. I i came in after the long weekend. Stupor that we all were in on tuesday morning and saw that. Amc had issued stock to a single investor. And call me old fashioned. I'm used to companies issuing stock at a discount until i saw that they issued stock at a premium to last sale to a single investor. Bought a i think it was about a four or five percent premium. Which and then i saw the stock promptly rally massively past that and then that same investor came out in the afternoon and said he thought the stock was wildly. Overvalued had this weird dynamic where accompany issue stock at a premium to a single investor that investor obviously sells it in the market that day presumably and then and then tells people who thinks it's over-valued before it promptly doubles again the next day. And you know i. I think. I've seen companies issue stock at a premium. Maybe once in my career and it's just again one of those things where you know something's different is happening if someone can find the page in graham and dodd where this. This is all explained. I'd i'd love to say it but well it. Also i i believe that investors a distressed debt investors so in a way a brilliant trade kind of the opposite of of your trade last year. You know go along the stock so that they can you know bolster the credit. I i but but such a risky thing because you really didn't know i mean who knows how the market would react to a secondary like that. I guess but it all worked out in their favorite yet. I mean he obviously figured out he worked at well. I we worked out well for him. pretty good pretty good tip of the hat to to that I copy into my. I guess we're all in the amc. We're all in the theater together on this. I just say i did. I did go back to. Amc theaters last weekend and saw a movie. We've got it. They have the big cushy leather recliners and the they bring the food. I it's it's i don't know maybe there's there's a good book as to to be made but i'm to me the the promotions declare you and i worked on this story a little bit together. The promotions going on of amc. Our our border lining on the absurd. You're seeing people on the street corner holding posterboards saying you know by amc stock. You're you're seeing. Someone tweeted video of some poor party. Look at some hotel. I saw these models in bikinis dancing around waving signs that say. Amc to the moon. I can't wrap my head around this kevin. i dunno i. It's all fun while it lasts. I guess it's sort of a game of musical chairs some degree to see who's going to be left holding it back by the end of this. They'll they'll be they'll be it'll end very badly for people on the long and short sighted. They're like so there's people are going to have issues with fisher. Yeah i presumably. Those models got paid for their day's work though so are happy so some stimulus into the economy from all this. Anyway but claire ballantyne kevin also really great to catch up with both.
Pop Culture Cosmos
"eleven million shares" Discussed on Pop Culture Cosmos
"Big money changed hands it. I think it was close to five billion dollars or not changed. Yeah did technically changed hands. If you're losing money you're changing money from hand to hand here but it was quite the ride there and i think we're not done yet. But the announcement this morning that they were going to be selling. Eleven million shares caused a little bit of an impact on the price. There was about a twenty percent hike in premarket trading prior to this morning's announcement and then they took a four percent loss which triggered a circuit breaker. And if you don't know what a circuit breaker is it's literally just a pause in the trading of that stock for think it's a predetermined amount of time it's fifteen minutes or by other words is just going crazy right now. It's crazy it's going up it's volatile. It's going all over the place you know. I think what you're seeing here. Is that retail investors. Get a little scared there. They wanted to pull that profit before they saw things disappear when amc decided to announce that they were going to be selling off eleven million shares to it was a capital group. Can't remember who it was off the top my head but you know i think that scares the retail investor when you see that the institutional investors are getting a little bit more. I don't blame them. They'll find amc. And i just come off the worst year and a half ever. I would want to sell off you know. Have that in my kitty as well. I mean that's back up the brinks truck. If that's the case and please do it at the all time high. That would be awesome. I would have done it too but again. That's the way the things are bouncing right. But there's so much interest now in these types of stocks unfortunately the pandemic of closed for good a lot of things as far as the theater chancer that they close the arclight cinemas the pacific theatres chain. Those are closed for good. They're not being brought back only if amc or regal or some other theater chain reopened them under their banner will they be to go ahead and open up and that includes the historic cinema. Dome in hollywood some hoping that somebody will be able to go ahead and open that one up. because that's historical monument to me and filmmaking. Alamo draft house is reopening up. They were on the verge of bankruptcy. Now they're thriving now they're going to open up more theaters..
MarketFoolery
"eleven million shares" Discussed on MarketFoolery
"Though is that yesterday the stock went up and at one point it was up one hundred and twenty percent on the day which is a lot and amc came out and said we are going to provide free popcorn and other benefits to investors knowing full. Well had to that. They were going to be releasing something today saying they're selling shares that that is distasteful. Everything else about this. I find i find fine. I'm gonna go in no particular order. I agree with you it is. It is distasteful. The timing of that that said i think everything else that management is doing here make sense. They are taking advantage of an inflated stock price. They are being very clearly. They're being very clear. Saying here's why we're selling you know if you're a lawyer on staff. Amc entertainment you've got to be happy with with the way they're handling this part of it. I you know it would be awesome. And unfortunately these things are like bound by legal language if they said we're selling eleven million shares wouldn't you. What do you expect us to do. The stock is down quite a bit today. Knows where it will end up. This is a company that has not traded on its fundamentals. There is no reason that amc which lost four billion dollars in twenty twenty which makes sense because the theaters closed it lost. It lost one hundred fifty million in two thousand nineteen when they were open. So i i have no explanation for this other than the market has lost. Its mind but amc is right to go ahead and say well okay. If you dare us to sell some we're going to sell up and we're going to keep selling until the price gets back to be an irrational a rational place and at which time we will have a lot of cash on hand and i said this the other day i mean this is unlike some of the high flying cloud based nasdaq stocks. That have come down. Twenty thirty forty percent off of their highs over the last few months those are at least growing businesses in growing industries. That the when you look at the business of movie theaters. The most important trend is the fact that for the past twenty years. Steadily year-over-year incrementally fewer people are going to the movie theater now. There are years where the overall box office receipts increase. But that's due to price increases. That's not due to more bodies coming into the theater. So yeah let's amc has a plan to get more butts in the seats. I'm not sure how this has a happy ending. Well not only that but the way that movie theaters make money off of concessions and for movies that have there for more than three weeks for the first three weeks and this has been pretty much contractual across the board. The studio gets all of those ticket. Revenues they all go and then it and then you start to have some sort of negotiated split what happened during twenty twenty and it's not the movie theaters fault is that that relationship was broken. We don't have any guaranteed that that's gonna come back. We had some big hits that literally went straight to streaming..
MarketFoolery
"eleven million shares" Discussed on MarketFoolery
"Today. The one and only bill man. Good to see my friend how are you. How are you sub celebrating. Mclovin birthday today mick. Lovin happy fortieth birthday to mental oven. Maybe the greatest fake driver's license in film history. You know it's only one name right. Yeah if you look at the driver's license his birthdate on his fake. Id was june third nineteen eighty-one that means that mclovin is today forty years of age so i will be celebrating later. I don't know about you. You know what if you're looking for a movie to relax with over the weekend i'll just say super bed. Eight percent on rotten tomatoes and the twelve percent are the ones who found the raunch to be a bit much which. I can understand understandable. So we've got an energy story that i don't understand we have a cybersecurity story that i really don't understand but we're going to start with the mayhem that is amc entertainment people on reddit or buying shares of an amc entertainment. But you know who's selling amc entertainment the fact that you're setting this apart and suggesting maybe you do understand this one. I understand the The optics of it. Anyway but yeah. The company came out. They filed to sell more than eleven million shares and the stock is down more than thirty percent today. Right now at the time that we're speaking. I mean it could. It could end anywhere so even at this point. Amc stock is up more than one hundred percent for the week so the company came out and said we are going to take advantage of the market and they were very clear in their filing. It was interesting that there's no there is no business reason for this level of volatility. There's no business reason for this price. We are going to sell. And we're going to go out. Use the you use these proceeds to try and buy up some irreplaceable movie assets which is great. This is exactly what they should be doing and it was. It's a little bit. It's what's so funny about the meam stocks in general take game. Stop for example. Is that the company's almost were irrelevant to the story. Right at no point do you hear. Hey the ceo is doing acts. You just don't hear these things and so the only thing that really bothers me about this chris..