AMCX

AMCX is the archetypal deep-value melting ice cube. Revenue has fallen every year since 2022 ($3.10B → $2.31B), down 4.5% in FY2025 as cord-cutting erodes the five linear networks (AMC, WeTV, BBCA, IFC, SundanceTV) faster than streaming (10.4M recast subscribers across AMC+, Shudder, Acorn, ALLBLK, HIDIVE) can backfill. The headline GAAP recovery — net income swinging from -$227M to +$89.4M and operating income from -$39.6M to +$133M — is largely optical: 2024 carried impairment/restructuring charges, and management's own Adjusted Operating Income fell 26.8% ($562.6M → $411.9M). AOI is the truer read on the business, and it is deteriorating meaningfully. So the 'earnings up 132%' story masks a franchise still in structural decline.

Against that, the price already assumes a grim outcome. At $10.26 the stock trades at 6.2x EPS and 0.2x sales, with a ~$456M market cap against $273M of FY2025 free cash flow (OCF $306M less $33.3M capex) — an eye-watering FCF yield. Crucially, that cash is being routed sensibly: long-term debt fell 25.2% to $1.74B and equity rose 14.8%. Net debt (~$1.25B) still dwarfs the equity value and liabilities/equity sits at 2.98x, so this is a levered equity stub where deleveraging, not growth, is the value driver. If AOI stabilizes and debt keeps falling, equity value compounds even on flat-to-down revenue.