AMC Entertainment and IMAX both posted strong second quarter results as moviegoers returned to theaters in large numbers. The rebound coincided with the release of several blockbuster films including Christopher Nolan's The Odyssey, which drew large crowds worldwide and helped lift the domestic box office to its strongest quarterly total in seven years. AMC CEO Adam Aron pointed to continued momentum in the underlying business, while IMAX CEO Richard Gelfond called the film's opening the biggest in company history on a comparable basis.

The results lifted shares across the theater sector. AMC stock jumped sharply after the earnings report before giving back a portion of the gain in the following session. IMAX shares climbed toward their highest level of the past year, adding to a run that reflects growing demand for premium screens as more blockbusters reach theaters. Investors read the moves as a sign that the recovery in theatrical attendance still has room to run.

• AMC's adjusted EBITDA reached a record $321 million for the quarter.

• IMAX reported adjusted earnings of $0.43 per share, up sharply from a year earlier.

• IMAX installed its highest number of new systems for a second quarter in a decade, pointing to expanded capacity ahead of a busier release slate.

Management at both companies pointed to a promising release slate ahead, including Spider-Man: Brand New Day and Dune Part Three, as a reason for confidence heading into the second half of the year. Investors are likely to watch attendance trends in the coming months for signs the rebound can continue.

RNG (+16.6%): RingCentral surged after beating earnings expectations, raising full-year guidance, and highlighting strong adoption of its AI-powered communications platform.

LMT (+14.3%): Lockheed Martin’s report reflected enhanced military spending based on recent geopolitical events.

FANG (+4.7%): Diamondback Energy’s rally came on the heels of rising oil prices due to renewed Middle East tensions.

TSLA (-17.9%): Tesla fell after weaker-than-expected earnings and shrinking profit margins renewed concerns about slowing vehicle demand.

GOOGL (-7.9%): Alphabet slipped as investors reacted to the company's increased AI spending plans, overshadowing another quarter of strong growth.

RDDT (-6.9%): Reddit fell as investors digested concerns regarding data licensing agreements with Google.

A widening gap has emerged in how AI developers price access to their most capable models, according to Artificial Analysis. Companies based in the United States, led by Anthropic and OpenAI, are charging well above their Chinese counterparts, where labs including DeepSeek and Xiaomi offer flagship models at a fraction of the cost. Nvidia and Amazon, both of which now offer their own models, are priced in the lower half of the range, closer to Chinese labs than to OpenAI or Anthropic.

The divergence is playing out against a backdrop of escalating price competition. OpenAI recently said it would offer its newest model at a quarter of Anthropic's rate for a comparable model, a sign that pricing, not just raw capability, is becoming a central battleground. For investors, the gap raises questions about how AI providers plan to sustain margins as rivals compete more aggressively on cost rather than performance alone.