Shares fell broadly on the economic turmoil as AMC Entertainment and Paramount struggled to stay in the green in late morning trading following the biggest Memorial Day movie opening in history. Top Shooter: Maverick.
Things have been changing fast lately on a Wall Street gripped by the latest news on war, inflation and interest rates, so this isn’t the last word for today’s session – the first since Friday and the explosive performance of Tom Cruise’s action movie, which is great news for movie theaters and for Paramount.
Directed by Joseph Kosinski, Cruise’s 1986 sequel as Navy fighter pilot Pete “Maverick” Mitchell grossed more than $153 million over a four-day weekend, surpassing the previous record holder in terms of shots. Pirates of the Caribbean: At World’s End, since 2007. It also beat forecasts in the theater sector, which is still struggling to recover from Covid-induced shutdowns, shifted release schedules and consumer reluctance, especially among older demos. An additional advantage is that most Best shooter audience over 35 years old.
Shares in the giant chain AMC are changing hands at around $14.75, up 2%. Shares rose 10% in premarket trading but fell at the open, briefly slipping into the red.
Shares of Paramount Global rose about 0.5% to $34. They have been in the red before. Top Shooter 2 this is the fifth opening of Studio No. 1 in 2022 after Scream, Freaks Forever, Lost City as well as hedgehog sonic 2, a slate built on a reliable variety of winning product.
All broader markets were lower, albeit outside of session lows. S&P 500 down 0.73%; Nasdaq by 0.76%; the DJIA index fell by 225 points or 0.68%.
Stocks hit a rally late last week (a bounce that broke the S&P 500’s longest losing streak in more than 20 years) but suffered again as oil prices soared after the EU voted in response to a partial import ban oil from Russia. to Vladimir Putin’s invasion of Ukraine and the ongoing war there. Consumers and businesses alike are suffering from higher food and energy prices, as well as Covid and war-related supply chain disruptions.
Elsewhere on the show front, Imax is softer, with Cinemark’s 1.15% discount down $1.58. Marcus, which owns theaters and hotels, rose 1.1%.