Cramer Is a BIG Fan of AMC's CEO
AMC Entertainment (AMC) - Get Free Report Chief Executive Adam Aron is "one of the greatest business people" TheStreet's Jim Cramer has ever met, Cramer said from the floor of the New York Stock Exchange after the movie theater operator's latest earnings report.
"He figured out how to raise $5 billion by taking advantage of the apes. And it worked! He needed the capital and they gave him the capital by bidding (AMC) up," Cramer said. "Apes" is the name that some AMC investors who participate on Reddit and other stock-comment boards have given themselves.
Aron was interviewed by Cramer, who notes that the CEO has served as an executive at multiple big-name companies.
Aron took questions from retail investors in addition to analysts and disclosed plans to accept bitcoin at AMC theaters. He hinted at a possible partnership with fellow meme stock GameStop (GME) - Get Free Report.
Cramer on AMC's Quarter
AMC shares gave away gains and were recently trading lower even after the company reported a narrower-than-expected loss for the second quarter.
"The quarter was good. The cash flow was good. They're still burning cash. ... They still need many more people to go. But they've raised prices. They've streamlined. They've used this period to close the underperformers. ... They are making much more per person who goes," Cramer said.
AMC's loss for the June quarter was pegged at 71 cents a share as theatres reopened and revenue rebounded from a pandemic-hammered year-earlier period to $444.7 million. The headline loss improved from the year-earlier loss of $5.38 per share and was 20 cents better than the Wall Street consensus forecast. Revenue beat the Street by around $62 million.