Summer blues for movie theaters
Movie theater stocks took a beating Wednesday after AMC Entertainment previewed a grim earnings report that will be released Monday. AMC’S announcement came amid broader pessimism about what has been a lackluster summer movie season.
AMC shares lost nearly a quarter of their value a day after the company’s announcement late Tuesday that its U.S. box office receipts tumbled 4.4 percent in the second quarter.
A disappointing summer at the box office has put pressure on major North American theater chains, which split grosses with Hollywood studios.
Because of a dearth of major summer hits outside of “Wonder Woman” and “Guardians of the Galaxy, Vol. 2,” summer season box office receipts are running about 8 percent less than last year, according to comscore. Notable flops have included “The Mummy” and the recently released “Valerian and the City of a Thousand Planets.”