On Friday, Beyonce’s Renaissance World tour film will debut across AMC Entertainment’s (NYSE:AMC) theaters for all consumers. The launch, which is being closely monitored by investors, may become a strong, positive catalyst for AMC stock in early December.
Since the movie’s premiere, the film has already started to generate significant amounts of hype. Long-term issues still plague AMC, though.
“Renaissance: A Film by Beyoncé” Looks Like a Short-Term Boon for AMC
According to the official description of the movie, Renaissance: A Film by Beyoncé “accentuates the journey of RENAISSANCE WORLD TOUR, from its inception, to the opening in Stockholm, Sweden, to the finale in Kansas City, Missouri.” The description indicates that the film has many scenes which focus on Beyonce’s behind-the-scenes work on the tour.
Renaissance: A Film by Beyoncé debuted yesterday in Los Angeles, attracting a number of stars, including JAY-Z, Tyler Perry, and Kris Jenner.
Another premiere of the movie is slated to be held in London “later this week.”
Vogue reported that Beyonce’s concert tour was “heavy on the silver sequins, theatrical (and fresh-off-the-runway) fashions, and dance-worthy hits.”
The Queen B Won’t Save AMC Stock
On Nov. 9, AMC stock sank sharply after the movie theater owner disclosed that it would sell up to $350 million of its shares.
I warned in a Nov. 15 column on AMC that the shares were “likely doomed to keep sinking for years” due to the company’s low levels of cash generation, uninspiring longer-term outlook, and huge debt levels.
In the last month, AMC stock has sunk 26%, while it’s down 88% so far in 2023.
On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.