IMAX (NYSE:IMAX) Hits New 12-Month High - Time to Buy?

Key Points

• IMAX shares reached a new 52-week high of $54.28, supported by strong demand for event films and positive investor momentum.
• The Odyssey generated more than $300 million in worldwide IMAX box office, while advance demand for Dune: Part Three could provide another boost. However, future performance remains dependent on a concentrated pipeline of major releases.
• IMAX exceeded quarterly expectations with $0.43 EPS versus $0.30 expected and revenue up 12.2% year over year. Analysts maintain a “Moderate Buy” consensus, with Rosenblatt setting a $60 price target, though the stock’s valuation is elevated at a P/E ratio of 74.34.

Shares of IMAX Corporation (NYSE:IMAX - Get Free Report) reached a new 52-week high during trading on Wednesday . The company traded as high as $54.28 and last traded at $53.1970, with a volume of 312698 shares. The stock had previously closed at $50.55.

IMAX News Summary

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: The Odyssey is generating record IMAX demand. The film has surpassed $300 million in worldwide IMAX box office, including a reported $47 million global weekend, and became the highest-grossing film ever at London’s BFI IMAX—overtaking Avatar. The results reinforce IMAX’s ability to benefit from major filmmaker-driven event films. IMAX Posts $47 Million Global Weekend Boosted by The Odyssey
• Positive Sentiment: Dune: Part Three is building significant advance demand. Reports describe ticketing websites crashing and previously sold-out IMAX screenings receiving additional ticket releases. The film’s planned large-format release, including select 70mm locations, could provide another meaningful attendance and licensing catalyst after The Odyssey. Dune Part Three ticket pre-sales
• Positive Sentiment: Rosenblatt Securities reaffirmed its “Buy” rating and assigned a $60 price target. The target implies additional upside from the stock’s recent trading level, signaling that the analyst sees continued benefit from IMAX’s film slate and recent operating momentum. Rosenblatt Securities rating update
• Neutral Sentiment: Upcoming demand remains dependent on a concentrated event-film pipeline. Dune: Part Three is expected to compete for audience attention and premium screens with Avengers: Doomsday, while reports of strong attendance at individual theaters—including San Antonio’s sole 70mm IMAX venue—highlight enthusiasm but do not by themselves establish companywide results. Dune Part 3 IMAX 70mm locations

Wall Street Analysts Forecast Growth

IMAX has been the topic of several research reports. HC Wainwright restated a "buy" rating on shares of IMAX in a research report on Friday, July 24th. Benchmark reiterated a "buy" rating on shares of IMAX in a research report on Monday, June 22nd. The Goldman Sachs Group reissued a "neutral" rating and issued a $42.00 target price on shares of IMAX in a research note on Thursday, July 23rd. Seaport Research Partners restated a "buy" rating and set a $50.00 price target on shares of IMAX in a research report on Wednesday, June 24th. Finally, Wells Fargo & Company raised their price target on IMAX from $41.00 to $45.00 and gave the company an "equal weight" rating in a research report on Friday, July 24th. Ten research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $51.55.

IMAX Price Performance

The stock has a market capitalization of $2.94 billion, a PE ratio of 74.34, a P/E/G ratio of 1.74 and a beta of 0.38. The firm's 50 day simple moving average is $44.00 and its 200 day simple moving average is $39.79.

IMAX (NYSE:IMAX - Get Free Report) last announced its quarterly earnings data on Thursday, July 23rd. The company reported $0.43 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.30 by $0.13. IMAX had a net margin of 9.84% and a return on equity of 15.47%. The company had revenue of $102.84 million during the quarter, compared to analysts' expectations of $96.09 million. During the same quarter in the prior year, the company earned $0.26 EPS. The firm's revenue was up 12.2% on a year-over-year basis. Analysts expect that IMAX Corporation will post 1.44 earnings per share for the current fiscal year.

Institutional Trading of IMAX

Institutional investors have recently added to or reduced their stakes in the business. BlackRock Inc. bought a new position in IMAX during the 2nd quarter worth approximately $115,881,000. Orbis Allan Gray Ltd increased its stake in IMAX by 31.7% in the 2nd quarter. Orbis Allan Gray Ltd now owns 5,113,033 shares of the company's stock worth $142,960,000 after purchasing an additional 1,230,267 shares during the period. Westfield Capital Management Co. LP lifted its position in IMAX by 44.6% in the fourth quarter. Westfield Capital Management Co. LP now owns 2,346,486 shares of the company's stock valued at $86,726,000 after purchasing an additional 723,861 shares during the last quarter. Nantahala Capital Management LLC bought a new stake in IMAX in the second quarter valued at approximately $26,228,239,000. Finally, Marsico Capital Management LLC bought a new stake in IMAX in the fourth quarter valued at approximately $18,149,000. 93.51% of the stock is currently owned by hedge funds and other institutional investors.

IMAX Company Profile

IMAX Corporation is a global leader in immersive entertainment technologies, specializing in the design, manufacture and distribution of high-resolution cameras, projectors, and proprietary software solutions that enhance both film production and theatrical exhibition. The company licenses its premium large-format system to theatre owners and filmmakers around the world, enabling audiences to experience movies with greater clarity, scale and sound fidelity. IMAX also offers turnkey theatre development services, assisting cinema operators with auditorium design, installation and custom branding to optimize the customer experience.

Founded in 1967 and headquartered in Mississauga, Ontario, IMAX has built a reputation for pioneering film-format innovations, including its patented dual 15-perforation, 70-millimeter projection system.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source