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AMC Entertainment Boosts Premium Offerings With IMAX Expansion

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AMC Entertainment Holdings, Inc. (AMC - Free Report) has taken another bold step to elevate its premium cinema offerings. The company has announced an expanded partnership with IMAX Corporation (IMAX - Free Report) to bring IMAX with Laser technology to over 180 AMC locations across the United States. This deal includes the addition of 12 new IMAX locations and the upgrade of 68 existing ones, marking the largest IMAX systems agreement in the United States since 2018.

Emphasis on the AMC Go Plan Bodes Well

As part of its ongoing AMC Go Plan, AMC, the largest theatrical exhibitor in the United States and globally, continues to invest in state-of-the-art technology to attract audiences seeking immersive viewing experiences. IMAX with Laser technology, known for its superior image quality, enhanced contrast and next-generation sound, is a key component of AMC’s strategy to differentiate itself in the competitive exhibition market.

AMC Chairman and CEO Adam Aron highlighted the importance of the expansion, noting that the introduction of IMAX with Laser technology across AMC locations aligns with the company’s commitment to enhancing the theatrical experience for millions of moviegoers in the United States.

This investment builds on AMC’s commitment to premium formats, which have consistently driven higher per-screen revenues compared to standard formats. The company’s strategic focus on upgrading high-performing locations, including AMC Lincoln Square 13 in New York and AMC Burbank 16 in Los Angeles, highlights its dedication to enhancing profitability through premium experiences.

Strengthening AMC’s Competitive Edge

AMC has long been a dominant player in the IMAX ecosystem, with eight of the top 10 highest-grossing IMAX locations in the United States. Its European subsidiary, ODEON Cinemas Group, also ranks among IMAX’s most successful global partners. The latest agreement cements AMC’s leadership in the premium theatrical segment, ensuring that it remains at the forefront of the industry’s recovery and growth.

For AMC, premium formats like IMAX have been a key driver of box office success. Moviegoers are increasingly willing to pay a premium for a superior theatrical experience, and this expansion allows AMC to capitalize on that demand. With blockbuster films continuing to generate strong IMAX attendance, AMC is well-positioned to benefit from higher ticket prices and increased concession sales.

Betting Big on the Future of Theaters

The cinema industry has had its share of challenges, from pandemic disruptions to shifting consumer habits. But AMC’s focus on premium upgrades aligns with an industry-wide trend — offering an experience that can’t be replicated at home. This expansion complements the company’s efforts to give audiences a reason to return to theaters and keep AMC relevant in a changing landscape.

AMC Stock: A Long-Term Play?

While AMC is making bold moves to enhance its premium offerings, its stock has struggled over the past year, dropping 7.6% compared to the industry’s decline of 2.6%. However, its commitment to innovation and audience engagement could support a longer-term turnaround.

Zacks Investment Research
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With an expanded IMAX footprint, a strong lineup of premium theaters and a renewed focus on high-quality cinematic experiences, AMC is positioning itself for a more sustainable future in the evolving entertainment industry.

AMC’s Zacks Rank and Stocks to Consider

AMC Entertainment currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the Zacks Consumer Discretionary sector are RCI Hospitality Holdings, Inc. (RICK - Free Report) and Mattel, Inc. (MAT - Free Report) .

RCI Hospitality currently sports a Zacks Rank #1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of negative 62.9%, on average. The stock has declined 22.3% in the past year. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for RCI Hospitality’s 2025 sales and earnings per share (EPS) indicates growth of 2.5% and 1,278.8%, respectively, from year-ago levels.

Mattel currently flaunts a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 37.6%, on average. The stock has gained 8% in the past three months.

The Zacks Consensus Estimate for Mattel’s 2025 sales and EPS indicates growth of 1.4% and 4.9%, respectively, from year-ago levels.


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