AMC, Cinemark Stocks Jump After Report of Amazon Studios’ Plans to Commit $1 Billion to Theatrical Releases

Interior of movie theater with empty red seats and projector. Horizontal shot

The stock price of AMC and Cinemark, two of North America’s largest exhibition circuits, jumped following a report published by Bloomberg claiming that Amazon Studios is gearing up for a major investment in its theatrical slate.

Bloomberg’s report cited unnamed sources behind its claim that the eCommerce giant’s movie business would be investing up to $1 billion in upcoming movies destined to hit theaters. As of this writing, Boxoffice Pro has been unable to substantiate or confirm these claims.

Shares of AMC Theatres went up 4% while Cinemark’s stock price increased by 12% by the close of market on Wednesday, November 24—hours after Bloomberg’s story was first published.

An increased focus on theatrical releases by Amazon Studios would come months after the company’s $8 billion-plus acquisition of MGM. Exhibition executives have reacted positively to changes occurring at other Hollywood studios, including Disney and Warner Bros., which seem to signal a step away from day-and-date and streaming-exclusive releases that forgo theaters altogether.

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