Latest news with #AMCEntertainment
Yahoo
19 hours ago
- Business
- Yahoo
Watch These Kohl's Stock Price Levels as Retailer Becomes Latest Meme Play
Kohl's Corp. (KSS) shares soared Tuesday in the absence of news on the retailer, a move reminiscent of the meme stock frenzy of 2021. The shares likely received a boost from a short squeeze, given that nearly half of Kohl's float is held by short sellers. Tuesday's trading action echoed the meme-stock rally of four years ago, when Reddit users targeted heavily shorted retail stocks, including video game seller GameStop (GME) and movie theater chain AMC Entertainment (AMC). Kohl's shares closed 38% higher at $14.34 on Tuesday, its highest level since December. The stock, which more than doubled early in Tuesday's session, has now inched back into positive territory for 2025. Below, we take a closer look at Kohl's weekly chart and use technical analysis to identify major price levels that tactical traders will likely be watching. Volume Signals Meme-Driven Trading Activity After bottoming out in early April, Kohl's shares trended steadily higher before today's pop. It's worth pointing out that about 183 million shares traded hands by 2:20 p.m. ET on Tuesday, about 25 times the stock's 25-day moving average volume, indicating meme-driven trading activity. While the stock has rallied above the 50-week moving average, the relative strength index remains below overbought levels, providing ample room for further speculative buying. Let's identify three overhead areas on Kohl's chart to watch if the buying frenzy continues and also locate a key support level worth monitoring amid the potential for profit-taking. Overhead Areas to Watch The first overhead area to watch sits around $29, This location finds a confluence of resistance from the nearby 200-week MA and a trendline that connects multiple peaks on the chart between June 2020 and April last year. Buying above this area could spark a rally toward $45. The shares may run into selling pressure at this level near a series of troughs on the chart stretching from August 2019 to January 2022. The next higher area to track lies at $64. A surge into this region would likely face significant resistance near several peaks that formed on the chart between March 2021 and April 2022. Key Support Level Worth Monitoring During volatile profit-taking events in the stock, investors should monitor the $11 level. Tactical traders could see this location a high probability 'buy the dip' area near the 2020 pandemic low and a period of brief consolidation in February this year. The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info. As of the date this article was written, the author does not own any of the above securities. Read the original article on Investopedia
Reuters
a day ago
- Business
- Reuters
Kohl's shares jump as retail traders drive 'meme-stock'-like rally
July 22 (Reuters) - Shares of Kohl's Corp (KSS.N), opens new tab briefly doubled in value on Tuesday, as retail traders piled into the U.S. department store chain's stocks and options, making it one of the most actively traded stocks on retail trading platforms. Kohl's shares opened up about 100% at a 10-month high of $21.23 on Tuesday, triggering a trading halt, before paring gains to trade up 39% at $14.48, late in the afternoon. With little news to spur a move of that magnitude, analysts said the trading was reminiscent of the price and trading volume surges seen during the 'meme-stock' rally from 2021 in highly shorted retail favorites such as GameStop (GME.N), opens new tab and AMC Entertainment (AMC.N), opens new tab. On Tuesday, Kohl's topped the list of trending tickers on retail investor forum Stocktwits. "Kohl's has a lot of (fundamental) issues and yet this kind of crazy group move up just exemplifies what's happening with the retail investor where they're going to hop on superfast momentum stocks that we love to call meme stocks and hope to be able to make money," said Kim Forrest, chief investment officer at Bokeh Capital Partners. Retail investors have remerged as a potent force in markets in recent months as U.S. stocks overcame their tariff-induced April swoon to reclaim record highs, even as institutional investors have taken a more cautious approach to piling back into stocks. On Tuesday, about 183 million shares traded hands by 2:20 p.m. ET, about 25 times the stock's 25-day moving average volume, according to LSEG data. In the options market, Kohl's made the list of the 10 most actively traded names by volume, rubbing shoulders with much larger companies, including other retail favorites Nvidia and Tesla. Overall Kohl's options volume stood at 360,000 contracts, or about 12 times its average daily trading volume, according to options analytics firm Trade Alert. Call options betting on the shares rising above $17.50 by Friday were the most actively traded Kohl's options with trading volume topping 32,000. "That's new trades and based on little news that I see, pure speculation," said Ophir Gottlieb, chief executive of Los Angeles-based Capital Market Laboratories. Through Friday, Kohl's shares have shed about a third of their value this year as the company, which fired its CEO in May for a personal relationship with a vendor, has come under attack from short sellers. About 49% of Kohl's outstanding shares available for trading are shorted, LSEG data showed, leading to some analysts viewing Tuesday's price move as partially driven by a short-squeeze. A short squeeze occurs when investors who had sold borrowed shares in the hopes of making money from a share price decline are forced to buy shares to close their losing positions. "This is reminiscent of a coordinated move by many investors to chase a high short float stock," Gottlieb said. Meme stock rally burst into the open in 2021 when the COVID-19 lockdowns boosted savings, policy stimulus put cash into people's pockets and extremely low interest rates pushed investors to the stock market. Earlier this week, other highly shorted stocks such as Opendoor Technologies (OPEN.O), opens new tab also witnessed strong retail interest. The online residential real estate platform's shares were up 10%, having gained more than 300% over the past six sessions.
Yahoo
4 days ago
- Business
- Yahoo
Jim Cramer on AMC Entertainment: 'I Wouldn't Buy AMC Stock'
AMC Entertainment Holdings, Inc. (NYSE:AMC) is one of the stocks Jim Cramer weighed in on. Cramer discussed the stock in light of its latest analyst coverage, as he remarked: 'Wedbush just upgraded AMC last week. AMC, yeah, lowly worm precisely because it's got so much IMAX exposure, something that can help the movie theater chain defend its market share… That said, the analyst acknowledged that, 'They do not see substantial growth in 2025, 2026, or beyond for AMC.' Personally, I wouldn't buy AMC stock. It's a money loser with a hideous balance sheet. Again, the movie theater business is in bad shape with the exception of IMAX, which is why AMC stock is down over 40% for the past 12 months while IMAX is up more than 60%.' An audience of moviegoers inside a theatre, savoring the latest cinematic experience. AMC Entertainment (NYSE:AMC) operates movie theaters and is involved in the theatrical exhibition business, offering film screenings and related services through its owned and affiliated locations. During an April episode, when a caller asked if the stock would get back to pre-COVID growth, Cramer replied: 'No, the answer is that they should have reorganized by now, and they haven't. They have way too much debt. I want you to stay away from that one.' While we acknowledge the potential of AMC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
The Saturday Spread: Using Science to Pinpoint Empirically Enticing Trades in WMT, OKTA and RCAT
It's the one question that the financial publication industry consistently refuses to answer: how likely is it that the broadcasted thesis happened because of the signal or undervaluation and not just by random chance? Pretty much all finpub articles offer an investment or trading idea; otherwise, what would be the point of reading the material? If there was no edge to be found, then you should simply put your money into the benchmark S&P 500 SPDR (SPY) and call it a day. But instead, the concept of reading financial analyses is to extract alpha — generating returns that exceed what you'd expect from passive exposure to a broader index. More News from Barchart Netflix Produces Strong Q2 FCF, But NFLX Stock Dips - Is It a Buy Here? AMZN Trade Idea: Capture Gains Without Chasing the Stock AMC Entertainment's Unusual Options Activity Sets Up for a Long Straddle. Should You Bite? Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. But you can't just extract alpha without understanding what you are benchmarking against. And that's the point of the null hypothesis. In the financial realm, the null hypothesis is the assumption that there is no mispricing. Put another way, whether you read the finpub article in question or not, your performance will not deviate statistically from what is expected. By logical deduction, our job as analysts is to reject the null; specifically, that the alternative hypothesis that we present is not just a materialization of random noise but an empirically meaningful signal. To determine this meaningfulness, analysts should run a binomial test, which helps narrow down truly interesting ideas from typical price discovery chaos. However, looking at share prices or their derivatives for recurring patterns represents a gargantuan task. Instead, I prefer compressing (discretizing) price action into market breadth or sequences of accumulative and distributive sessions. By analyzing root demand, we can more easily pinpoint unusual quantitative signals — signals that can point to asymmetric opportunities. Yes, the emphasis on scientific methodologies is a financial red pill. But if we're going to beat the market, we have to think differently. Below are three ideas to mull over this coming week. Walmart (WMT) Let me be blunt: big-box retailer Walmart (WMT) is a truly boring idea. But even industry juggernauts can occasionally broadcast signals that make them very intriguing. For WMT stock, this signal is what I would abbreviate as the 6-4-D sequence: six up weeks, four down weeks, negative trajectory across the 10-week period. Since January 2019, this sequence has materialized 17 times. It's an odd pattern given that the balance of accumulative sessions outweighs distributive, yet the overall trajectory is negative. Still, what's most intriguing is that in 76.47% of cases, the following week's price action results in upside, with a median return of 1%. On Friday, WMT stock closed at $95.05, meaning that if the implications of the 6-4-D sequence pan out, it could hit $96 soon, perhaps in a week. Should the bulls maintain control of the market over the next three to four weeks, a push toward $96.55, perhaps even $97, may be on the cards based on past analogs. The null hypothesis in this case is the baseline probability of WMT stock assuming no unusual mispricing, which is 57.02%. However, the much higher probability of the 6-4-D sequence — which has an empirically intriguing p-value of 0.0819 (implying 91.81% confidence that the signal isn't random) — incentivizes a debit-based options strategy. With that in mind, aggressive speculators may consider the 95/97bull call spread expiring Aug. 8. Barchart Premier members can quickly pinpoint the most viable trades, thereby eliminating much of the guesswork involved in options trading. The above transaction involves buying the $95 call and simultaneously selling the $97 call, for a net debit paid of $93. Should WMT stock rise through the short strike price at expiration, the maximum reward stands at $107, a payout of 115%. Okta (OKTA) Another intriguing idea that popped on the quantitative radar is Oka (OKTA), an identity and access management company. While OKTA stock has been a strong performer, gaining over 21% on a year-to-date basis, it has also been a choppy name. For example, in the trailing month, the security is down 4%. Still, this may open up a trading opportunity. In the past two months, OKTA stock has printed a 4-6-D sequence: four up weeks, six down weeks, negative trajectory. Since January 2019, this particular sequence has occurred 37 times. Ordinarily, it would be associated with pessimism given the greater balance of distributive sessions, along with the negative trajectory. However, in 64.86% of cases, the following week's price action results in upside, with a median return of 4.93%. Should the bulls maintain control for the next three weeks, investors may see an added performance boost of 2.06%. With OKTA closing at $95.43 on Friday, it could potentially be on pace to exceed $102 over the next few weeks. Here, the null hypothesis is a baseline probability of 52.63%. Further, the 4-6-D sequence runs a p-value of only 0.0917. All things considered, the framework incentivizes a debit-based strategy. With that said, speculators may consider the 97.50/100 bull call spread expiring Aug. 15. This trade requires a net debit of $96, with a gargantuan payout of over 160%. Red Cat (RCAT) Defense contractor Red Cat (RCAT) — which specializes in advanced solutions such as reconnaissance drones — is fundamentally intriguing for obvious reasons if you've been keeping pace with geopolitical news. However, it's also risky. RCAT stock is down more than 12% YTD and that's including the 30% lift in the trailing five sessions. If choppiness isn't your thing, you may want to look elsewhere. Here's the thing, though. In the past two months, RCAT stock has printed a 6-4-U sequence: six up weeks, four down weeks, positive trajectory. Since January 2019, this sequence has materialized 44 times. With RCAT, the higher balance of accumulative sessions tends to attract more bullish behavior. Therefore, in 56.82% of cases, the following week's price action results in upside, with a median return of 9.31%. On the surface, that might not seem like a significant edge. However, RCAT's null hypothesis is a baseline probability of 45.32%. Given that the security natively features a negative bias, it's enticing that the 6-4-U sequence tilts the odds firmly in the bulls' favor. This signal has a p-value of 0.1398, which is higher than the rest. However, given the open-system nature of the stock market, it's arguably empirically intriguing. Those who really want to swing for the fences may consider the 11/12 bull call spread expiring Aug. 15. This trade requires a net debit of $40, with a max payout of 150%. On the date of publication, Josh Enomoto did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Why AMC Entertainment (AMC) Stock Is Trading Up Today
What Happened? Shares of theater company AMC Entertainment (NYSE:AMC) jumped 3.2% in the morning session after analyst upgrades and a strong summer box office performance fueled investor optimism. The positive sentiment was driven by multiple Wall Street analysts upgrading the stock. Wedbush analyst Michael Pachter upgraded AMC from neutral to outperform and raised his price target, citing a more consistent upcoming film release schedule. Benchmark analyst Mike Hickey also increased his earnings forecast for the theater chain, noting the potential for "outsized potential upside." This optimism was supported by a recovering box office, with total domestic revenue up 15% year-over-year. Analysts now projected AMC's domestic ticket sales to jump significantly in the second quarter. After the initial pop the shares cooled down to $3.53, up 1.2% from previous close. Is now the time to buy AMC Entertainment? Access our full analysis report here, it's free. What Is The Market Telling Us AMC Entertainment's shares are very volatile and have had 27 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. The previous big move we wrote about was 7 days ago when the stock gained 8.1% on the news that the company received a bullish upgrade from analysts at Wedbush. Analyst Alicia Reese of Wedbush upgraded AMC's stock to "outperform" from "neutral," citing a more consistent movie release schedule expected over the next several quarters. The firm also raised its price target on the stock to $4.00 from $3.00. Wedbush noted that AMC is well-positioned to gain market share in 2025 and 2026. AMC Entertainment is down 12.2% since the beginning of the year, and at $3.53 per share, it is trading 33.5% below its 52-week high of $5.31 from July 2024. Investors who bought $1,000 worth of AMC Entertainment's shares 5 years ago would now be looking at an investment worth $96.41. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
