IMAX Corporation (NYSE:IMAX) Stock Now Rated "Moderate Buy" by Sell-Side Brokerages

Key Points

• Analysts rate IMAX a “Moderate Buy”: Ten of 16 analysts recommend buying and two recommend a strong buy; the average one-year price target is $58.08.
• Quarterly results beat expectations: IMAX reported EPS of $2.21 versus estimates of $1.02 and revenue of $174.55 million, up 63.6% year over year.
• Insiders have been selling shares: Company insiders sold 507,257 shares worth about $26.7 million over the past 90 days.

IMAX Corporation (NYSE:IMAX - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the sixteen ratings firms that are covering the firm, MarketBeat reports. Four research analysts have rated the stock with a hold recommendation, ten have issued a buy recommendation and two have given a strong buy recommendation to the company. The average 1-year price target among analysts that have issued a report on the stock in the last year is $58.08.

A number of research firms have issued reports on IMAX. JPMorgan Chase & Co. boosted their price objective on shares of IMAX from $50.00 to $58.00 and gave the company an "overweight" rating in a research report on Friday, October 23rd. Weiss Ratings upgraded shares of IMAX from a "buy (b)" rating to a "buy (a-)" rating in a report on Monday, November 9th. Roth Capital reiterated a "buy" rating and set a $62.00 target price on shares of IMAX in a report on Friday, October 23rd. Wall Street Zen raised IMAX from a "hold" rating to a "buy" rating in a research note on Saturday, October 10th. Finally, B. Riley Financial boosted their price target on IMAX from $61.00 to $64.00 and gave the company a "buy" rating in a report on Thursday, October 8th.

IMAX Stock Up 0.8%

Shares of IMAX stock traded up $0.39 on Friday, hitting $48.28. The stock had a trading volume of 747,764 shares, compared to its average volume of 984,740. IMAX has a one year low of $32.71 and a one year high of $57.73. The stock has a market cap of $2.67 billion, a price-to-earnings ratio of 20.90, a PEG ratio of 0.98 and a beta of 0.54. The stock's 50-day simple moving average is $51.85 and its two-hundred day simple moving average is $43.54.

IMAX (NYSE:IMAX - Get Free Report) last posted its quarterly earnings results on Thursday, November 5th. The company reported $2.21 EPS for the quarter, beating analysts' consensus estimates of $1.02 by $1.19. The company had revenue of $174.55 million during the quarter, compared to analyst estimates of $168.53 million. IMAX had a net margin of 27.70% and a return on equity of 35.15%. The firm's revenue was up 63.6% compared to the same quarter last year. During the same period in the prior year, the business posted $0.47 EPS. As a group, equities analysts predict that IMAX will post 1.88 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Kenneth Weissman sold 8,000 shares of IMAX stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $54.54, for a total value of $436,320.00. Following the sale, the insider directly owned 28,205 shares in the company, valued at approximately $1,538,300.70. This trade represents a 22.10% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Natasha Fernandes sold 20,000 shares of IMAX stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $54.63, for a total value of $1,092,600.00. Following the completion of the sale, the chief financial officer owned 35,596 shares in the company, valued at approximately $1,944,609.48. This represents a 35.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 507,257 shares of company stock worth $26,673,571. 20.55% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On IMAX

Hedge funds and other institutional investors have recently made changes to their positions in the business. Jupiter Topco LLC purchased a new position in shares of IMAX in the 2nd quarter valued at approximately $836,000. HBK Investments L P purchased a new stake in IMAX in the second quarter worth $8,058,000. Man Group plc purchased a new stake in IMAX in the second quarter worth $951,000. Bank of New York Mellon Corp purchased a new stake in IMAX in the second quarter worth $5,512,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its holdings in IMAX by 5,002.8% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 140,838 shares of the company's stock worth $5,614,000 after purchasing an additional 138,078 shares in the last quarter. Institutional investors own 93.51% of the company's stock.

IMAX Company Profile

IMAX Corporation develops and operates technology and services for premium large-format cinema. Its offerings include specialized projection and sound systems, theater design and installation, and tools for remastering films for presentation on IMAX screens. The company also works with filmmakers and studios to release movies in the IMAX format, and it distributes documentary and feature-film content to its theater network. IMAX systems are used in commercial cinemas and in select educational and institutional venues.

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