Movie Theater Stocks Plummet as Internet Media Threatens to Crush Hollywood
(ANTIMEDIA) — The movie theater industry is in trouble. Box office bombs and the changing manner in which people consume their entertainment have sent their stocks plummeting. From the Los Angeles Times on Tuesday:
“AMC Entertainment Holdings, the world’s largest movie theater owner, took a big hit on Wall Street after it reported worse-than-expected earnings amid an unusually weak box office.”
Continuing, the Times reported that AMC’s stock fell more than 25 percent for the quarter ending June 30, which amounts to about a $178 million loss. AMC’s report falls in line with second-quarter reports from other theater chains like Regal Entertainment and IMAX.
After noting on Thursday that, all told, the value of stock in the top four theater operators in North America has dropped $1.3 billion since August 1 alone, Bloomberg pointed out the obvious — namely, that a theater can’t sell tickets if no one wants to see the movies:
“The concern is that the slump isn’t just