How To Buy AMC Stock In 2021| A Step By Step Guide

How To Buy AMC Stock
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The Coronavirus pandemic has disrupted normal life as we know it. Businesses have been halted and affected. Then came the vaccines. Along with compliance with Government directives, businesses are now going back to normal.

Along with those, one essential service is now back; the cinema. The movie industry has been badly affected by the pandemic, with movies slated for release pushed back while others were released on streaming services. With the gradual turning back to normal of things, the cinema business is booming. This is where AMC comes in.

AMC Entertainment Holdings, Inc or simply AMC is an American movie theatre chain headquartered in Lexiwood, Kansas.  It is the largest movie theatre chain as well as the one with the largest share of the US market. The company, founded in 1920, had a revenue of $1.2424 billion in 2020.

What if I told you, that you could own shares of the largest movie theatre chain in the world? Yep, and it is easy too. Before this article ends, I will tell you in detail how to buy AMC stock.

Just follow me.

But first…

What is a Stock?

A stock (or capital stock, equity) represents ownership of a corporation or entity. When I buy stocks of a company, I become a shareholder in that company, and I become entitled to the fraction of the company’s earnings, or voting power (in most cases.)

For example, if a company has 1,000 shares of stock outstanding and one person owns 100 shares, that person would own and have a claim to 10% of the company’s assets and earnings.

Stocks are bought and sold on the stock exchange, though they can be purchased from online power brokers.

People buy stocks in companies for so many reasons, but many mostly do it for profit. And you should too. It is estimated that the average stock market return per year is about 10%.

This is where AMC comes in. As a good standing company, it will be wise if you will buy stocks of the company. If you are looking for how to buy AMC stocks in 2021, this is how.

How to Buy AMC Stocks

If you are looking for how to buy AMC stock, the first thing you should know is that the company does not offer a direct purchase plan. What this means is, you have to buy your AMC stock through a broker.

If you follow these steps, buy your AMC stock will be as simple as ABC.

1.            Research Stock

2.            Decide How Many Shares you Want

3.            Compare and Pick a Brokerage.

4.            Create/Open Your Brokerage Account.

5.            Choose Your Order Type

6.            Complete Your Trade

1. Research Stock

This is the first step in how to buy AMC stock. Scratch that. The first step in buying stocks of any company.

This involves knowing the financial status of the company, returns expected, company standing and more.

For AMC, know that it has 590 theatres and operates on 7,668 screens across 44 states and the District of Columbia. The company has also expanded to 12 European countries and Saudi Arabia.

The company, which went public in 2013 had modest gains between 2017 and 2019 before the pandemic kicked in. This badly affected the company, as theaters remain shut with some 63 closed permanently.

The company avoided being bankrupt by raising $917 million in new capital, including $506 million from investors who purchased AMC shares.

At the beginning of 2021, the stocks of AMC were pretty volatile trading at $2.20 per share. The Reddit short squeeze pumped the price to about  $20.36 per share.

As of 21st October, the stocks of AMC trade for 39.56 per share, almost 18 times the price it started at the beginning of the year.

Now there is other information you should get about the company, and this could be done by studying the company’s Form 10-K

2. Decide How Many Shares you Want

This depends on a lot of factors like the price of AMC stock, the amount you are willing to invest as well as the perceived risk.

There is always the risk a high risk when investing in a single stock like AMC’s compared to say, a mutual fund.

If you are a first-time investor, it is advised that you start small and then take it gradually from there.

3. Compare and Pick a Brokerage

This is very important in how to buy AMC stock. The brokerage or online brokers help you buy stocks using your phone or laptops, including AMC stocks. It is important you choose wisely.

There are many stock brokers online. Each brokerage is built with special features, including tutorials for beginners, analysis and unique pricing.

Ask yourself these questions before you buy your AMC stock.

  • What is the account minimum you want?
  • Do you want to manage your account or need an advisors’ help?
  • How much are you willing to pay in commission fees?

All these will help you choose the best broker.

Have a look at each brokerage, compare and choose the best for you. If you are a beginner looking for how to buy AMC stocks, then you might want to check how to choose the best stock broker.

4. Create/Open Your Brokerage Account

Once you chose an online broker, this next step is easy. You just sign up, complete your application with details. If you already have an account, you log in.

The next step is to fund your account via your wallet.

5. Choose Your Order Type

Once you decided how many shares you want to buy, the next step in how to buy your AMC stock is to choose an order type.

There are basically four types of orders.

Market Order: This is the most basic type of trade. You buy or sell a stock immediately at the current price.

Limit Order: Also known as pending order, this is when you buy or sell at a certain price in the future. In essence, it sets a maximum or minimum price at which you will sell or buy.

Trailing Stop Orders: When the price of the stocks you are buying rises above a certain percentage at the current market rate, then this order is executed.

Stop Orders: Stop orders are done when the price of the stocks you are buying rises above a pre-set price.

6. Complete Your Trade

Once you choose an order, the next step is to wait for the brokers to file the necessary paperwork. All you do is simply confirm the order in your brokerage platform, and wait for the broker to place it.

This is how you buy your AMC stock.

Easy right? I promised so.

Now I am going to show you how to buy your AMC stock on some popular brokerages.

How to Buy AMC Stock with Stash

Stash is an online brokerage where you can buy your AMC stock with ease.

  1. Log in to your account or sign up
  2. Enter the amount you will like to invest in AMC stock
  3. Proceed to checkout
  4. Choose a stash plan; Stash Beginner, Stash Growth, and Stash+.
  5. Preview and confirm your order

How to Buy AMC Shares on Webull

Webull is one of the top brokerage firms for your AMC Stocks. Webull is regulated by the SEC and the FINRA.

  1. Head over to Webull and create an account.
  2. Transfer money to your account through wire transfer or direct deposit.
  3. Go to ‘watchlists’, pick your stock (AMC)
  4. Select trade and place an order.
  5. Preview and confirm the order

How to Buy AMC Shares on Robinhood

Robinhood is a financial service company founded in 2013 and it is already a top firm

  1. Go to the stock’s details page after creating an account or signing up
  2. Tap ’Trade’ at the bottom of the page, or ‘Buy’
  3. Enter the amount you will like to purchase. If you’d like to order in shares, tap on the drop-down menu in the top right that says ‘Dollars’ and choose ‘Buy in Shares.’
  4. Review your order and confirm all details are correct. You can ‘Edit’ in the top left corner.
  5. Swipe up to submit the order.

How to Buy AMC Stock on Tradestation

Tradestation offers a comprehensive platform for traders and Is one of the platforms you can use to buy your AMC stocks

  1. Head over to Tradestation and create an account.
  2. Transfer money to your account.
  3. Search for ‘AMC’ and place your order.
  4. Submit and check back later

How to Buy AMC Stock on Vanguard

Vanguard is one of the second-largest brokerages in the world and a perfect place to invest in your AMC stocks.

  1. Log in to your Vanguard account
  2. Choose the option to trade ETF or Stocks
  3. Select account if you have more than one, and click buy.
  4. Search for ‘AMC’
  5. Enter the number of shares you’ll like to purchase and select an order type.
  6. Confirm order

How to Invest in AMC Stock on Fidelity

Valued as the best brokerage firm in the world and one of the oldest, Fidelity is the best place to invest in your AMC stocks. It is easy and fast to do so.

  1. Log in to your Fidelity account and select the trading account.
  2. Enter the AMC symbol (AMC)
  3. Select Buy, and choose between ‘Dollars’ and ‘Shares’
  4. Choose the order type
  5. For limit orders, decide how long the order will stay open.
  6. Preview order, and once everything is good, place an order.

Conclusion

Investing in AMC, an American Theater Company is very easy. All you have to do is, research the stock, decide how many shares you want, compare and pick a brokerage, create/open your brokerage account, and choose your order type to complete your trade.

As a beginner, remember not to invest what you can’t lose. It is hard to determine whether AMC is good for long time gains, the risk is worth it. You can buy your AMC stocks now, and hold it while it continues to rise or if you are interested in the short time gains.

FAQs

What percentage of AMC Entertainment is owned by insiders or institutions?


Currently 0.323% of AMC Entertainment shares are held by insiders and 25.284% by institutions.

How many people work for AMC Entertainment?


Latest data suggests 3,449 work at AMC Entertainment.

How much is AMC stock worth currently?


As of 21st October, AMC is worth $39.24 per share. Note that this fluctuates every day.

Who is the CEO of AMC Entertainments?


Adam Aron is the current CEO of AMC, and has been so since 2016.

What is the best brokerage to buy AMC stocks?


There are many brokerage firms to invest in AMC stocks like Webul, Robinhood, Vanguard, Fidelity and others, with each having its own features. You should explore them, and choose the one that best serves your purpose.

References

Picture link: https://unsplash.com/photos/osWDvhPlGLU

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