5 Top Robinhood Stocks Popular on Reddit

4. AMC Entertainment Holdings, Inc. (NYSE: AMC)

Number of Hedge Fund Holders: 19  

AMC Entertainment Holdings, Inc. (NYSE: AMC) is a Kansas-based company that owns several movie theatres and other screens around the world. It is placed fourth on our list of top Robinhood stocks popular on Reddit. The stock has returned over 1,256% to investors in the past twelve months. The firm operates more than 1,000 theatres and over 10,000 screens and is the largest movie theatre brand in the world. The firm has been in recent years as internet-based streaming becomes popular and cinema-goers decrease. 

On June 18, as AMC Entertainment Holdings, Inc. (NYSE: AMC) continued to be in the focus of a short-selling scheme, James Gorman, the CEO of investment bank Morgan Stanley, told news publication CNBC that the dramatic rise in the share price of AMC could be a recipe for disaster. 

At the end of the first quarter of 2021, 19 hedge funds in the database of Insider Monkey held stakes worth $34 million in AMC Entertainment Holdings, Inc. (NYSE: AMC), up from 16 in the preceding quarter worth $24 million. 

In its Q1 2021 investor letter, Mittleman Brothers, an asset management firm, highlighted a few stocks and AMC Entertainment Holdings, Inc. (NYSE: AMC) was one of them. Here is what the fund said:

“As noted in our Year End 2020 Investment Review (published on 2/1/21), we exited our position in AMC at around $14 during the last week of January. That price exceeded our then $10 estimate of fair value, as the stock went parabolic with the Gamestonk/Reddit/WallStreetBets frenzy that captivated the media, market and general population in January. As long-term shareholders, we were pleased that AMC’s CEO, Adam Aron, did not take the easy way out during AMC’s darkest days when the vast majority of the investment community were writing the company’s obituary. He showed loyalty to shareholders despite being in the zone of insolvency (where fiduciary duty to shareholders extends to creditors as well).”