A lot has been made of the recent trend of groups of retail investors acting in concert to drive the shares of near-defunct businesses higher. Unlike the leaders of some other companies in that position, the management team at AMC Entertainment (NYSE: AMC) took advantage of its recent share price surge by selling shares to raise cash -- nearly $600 million worth in June. That followed equity raises in January and May that netted about $1.3 billion total. It was a shrewd tactic, and is leading some to believe the company might have a bright future after all.
It currently has about $1 billion of cash on its balance sheet. That's a lot, but many on Wall Street seem to think it's not enough. Almost 23% of the float -- shares available to trade -- is still sold short. Punishing those betting against the stock has been a primary reason why many investors have been buying it. But such investors might find GoodRx (NASDAQ: GDRX) a better target .
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For further details see:
Move Over, AMC: Here's a Short Squeeze Candidate With as Much Cash and a Brighter Future