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- AMC CEO gave his twin sons 500,000 shares of the movie theater chain in March, Bloomberg reported.
- At that time, the gift was worth about $6.8 million, but following a massive surge, the value of the shares has ballooned five-fold.
- AMC’s monster rally catapulted the company to record highs Wednesday, with a year-to-date gain of as much as 3,325%.
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AMC Entertainment CEO Adam Aron gave his twin sons 500,000 shares of the movie theater chain in March, at the time worth about $6.8 million, according to a March 17 filing with the Securities and Exchange Commission, Bloomberg first reported.
But following a massive surge, those shares have seen a five-fold gain and are now valued at around $31.2 million.
As for Aron, the filing revealed that his shares and longer-term grants are now worth more than $260 million.
AMC’s monster rally catapulted the stock to record highs Wednesday, with its market valuation surpassing $30 billion. The stock’s year-to-date gain in the previous session surged to as much as 3,325%.
The meteoric surge has some analysts sounding the alarm yet again over unrealistic valuations. David Trainer, CEO of New Constructs, said AMC’s stock is trading at levels that are disconnected from fundamentals.
“There is no fundamental reason to be buying shares of AMC Entertainment,” Trainer said in a statement. “We think AMC Entertainment’s stock is worth $0 per share, given its weak earnings, dilution from recent stock offerings and mountain of debt.”
AMC shares are trading lower by 21.03% to $49.39 as of 12:13 p.m. ET Thursday.
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