It isn’t just GameStop: Here are some of the other heavily shorted stocks shooting higher

The dynamic that has seemingly contributed to a short squeeze in the stock of videogame retailer GameStop Corp. also appears to be affecting shares in a host of other heavily shorted companies…

AMC Entertainment Holdings Inc. AMC, 10.86%, BlackBerry Ltd. BB, 2.65% and retailer Express Inc. EXPR, -28.67%, have all experienced sharp moves without any apparent news to act as a driver while facing a large amount of bets against them. The same dynamic exists for GameStop GME, 93.29% stock, which has gained more than 300% in the past two-plus weeks amid support from investors on Reddit’s WallStreetBets message board.

In the case of AMC, the world’s biggest cinema operator, that has meant gains of more than 120% in the year to date, even as the company has conducted dilutive capital raisings and its core business remains greatly imperiled by the coronavirus pandemic. The crisis left most of AMC’s theaters in lockdown for months in 2020, deterred major studios from releasing new blockbusters and forced those theaters that were open to operate at limited capacity.

On Monday, AMC announced it had raised $917 million in equity and debt to help it get through a coronavirus-impacted winter; shares jumped 25.9% Monday.

“Today, the sun is shining on AMC,” Chief Executive Adam Aron said in a statement. “After securing more than $1 billion of cash between April and November of 2020, through equity and debt raises along with a modest amount of asset sales, we are proud to announce today that over the past six weeks AMC has raised an additional $917 million capital infusion to bolster and solidify our liquidity and financial position. This means that any talk of an imminent bankruptcy for AMC is completely off the table.”

Mike O’Rourke, chief market strategist at Jones Trading, said one could argue that the Reddit’s WallStreetBets community has saved AMC from a pandemic-driven bankruptcy. The company conducted another at-the-market offering of 50 million shares Monday, he said.

“The company’s share count will be 337 million when that sale is completed, which is up from 58 million in October,” O’Rourke wrote in commentary. “The company’s market capitalization is nearly double what it was prior to the coronavirus.”

Like the other names caught up in this speculative frenzy, AMC has…

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