🍿 AMC's stock surge

Vegans aren't sweating it... JBS, aka: Earth's largest meat producer, was forced to shut down all of its US beef plants after a cyberattack over the weekend. The ransomware attack halted output at facilities that supply nearly a quarter of America's meat — and some in Australia and Canada. Ransomware = hijacking computer systems and demanding payment for the release of the "hostage." The FBI is blaming a Russia-based hacking group called REvil (classic). JBS' CEO said that most plants would be operating by Wednesday (aka: yesterday).

Niet good... JBS is one of four meat giants that control more than 80% of US beef processing, so this attack is raising national food security alarms. Cyber attacks have been increasingly targeting critical infrastructure. Think: pipelines, power grids, and food production facilities.

• Since May 2020, there have been 40+ publicly reported ransomware attacks against food companies.
• Last month: Colonial, the US' largest fuel pipeline, was hit with a crippling ransomware attack. That caused a run on the pumps, since Colonial carries nearly half of the East Coast's gas. Colonial paid $4.4B worth of Bitcoin to reclaim its systems.
• Last year: ~$350M worth of cryptocurrency payments went to ransomware attacks, up 3X from 2019. "Ransomware-as-a-Service" is a business now. Victims don’t want to lose their data, so they pay up.

The corn is popping... and AMC smells butter. AMC stock nearly doubled yesterday, rallying a whopping 95%. Shares popped so quickly that they triggered four NYSE trading halts — aka: the NYSE temporarily paused trading of AMC stock, because it moved too rapidly outside of its "price band." This year, the stock is up over 3,000%, and AMC now boasts a $28B market cap, up from $500M a year ago.

• While it's hot: On Tuesday, AMC sold 8.5M new shares for $230M to an investment firm called Mudrick Capital.
• Not the first time: AMC has sold shares multiple times this year to capitalize on its stock surges and raise cash.

The corn is free... AMC stock closed at a record high yesterday, even while 30% of movie theaters are still closed and some studios are going direct-to-streaming. Retail traders have rallied around the stock, helping AMC avoid pandemic bankruptcy. Now, AMC is turning its individual shareholders into loyalty members:

• AMC unveiled a new portal on its website, just for retail investors. Shareholders can access exclusive promos, like discounts and invitations to special screenings.
• A free (large) popcorn is another new perk for AMC retail investors, along with direct communications from CEO Adam Aron.

• Confirmed: Activist firm Engine No. 1 claimed Exxon's third board seat, and could force it to change its oil-focused strategy.
• Ransom: NYC’s subway operator and Martha’s Vineyard ferry operator were the latest to get hit with cyberattacks.
• Stim: Sharp declines in financial instability and anxiety coincided with the latest rounds of stimulus payments, according to a new study.
• Recall: Tesla is recalling hundreds of Model 3s that were shipped to China, following thousands of recalls over the past few months.

• Weekly jobless claims
• Earnings expected from Lululemon, Broadcom, and DocuSign

Authors of this Snacks own shares of: Tesla

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