Is MoviePass a sinking ship?
Citadel Securities reportedly doesn't think so. The firm disclosed that it has a 5.4% stake in Helios and Matheson Analytics Inc. (HMNY) , the owner of MoviePass.
The stake would make Citadel the second-largest stakeholder of Helios and Matheson Analytics. Other stakeholders include Verizon Communications Inc.'s (VZ) - Get Report Oath unit and Helios and Matheson Analytics CEO Theodore Farnsworth, Bloomberg reported.
MoviePass has been seen by analysts as being a gamble since it depends heavily on relationships with theaters. MoviePass has been making abrupt changes in the past couple of months after it failed to be profitable last quarter.
Shares of Helios and Matheson Analytics hit record lows on May 22. When the market closed on Tuesday, shares were up 15%.