IMAX (NYSE:IMAX) Upgraded to Buy at Wall Street Zen

Key Points

• Wall Street Zen upgraded IMAX from a “hold” to a “buy,” adding to a generally bullish analyst backdrop. IMAX now has 10 Buy ratings and 3 Hold ratings, with a consensus price target of $50.36.
• IMAX reported strong quarterly results, beating expectations on both earnings and revenue. The company posted EPS of $0.43 versus the $0.30 estimate, while revenue rose 12.2% year over year to $102.84 million.
• Investor sentiment remains supported by multiple tailwinds, including higher price targets from several firms, strong box-office demand for premium IMAX presentations, and heavy institutional ownership at 93.51% of shares outstanding.

IMAX (NYSE:IMAX - Get Free Report) was upgraded by investment analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued on Saturday.

Several other research analysts have also recently weighed in on the stock. Weiss Ratings upgraded shares of IMAX from a "hold (c+)" rating to a "buy (b-)" rating in a report on Thursday, July 16th. B. Riley Financial raised their price objective on shares of IMAX from $48.00 to $52.00 and gave the stock a "buy" rating in a report on Monday. Keefe, Bruyette & Woods reaffirmed a "market perform" rating and issued a $60.00 price objective on shares of IMAX in a research report on Friday, May 22nd. Rosenblatt Securities reaffirmed a "buy" rating and issued a $47.00 target price on shares of IMAX in a research note on Monday, July 20th. Finally, Wedbush increased their target price on IMAX from $46.00 to $54.00 and gave the stock an "outperform" rating in a report on Friday. Ten research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. According to MarketBeat, IMAX currently has an average rating of "Moderate Buy" and a consensus price target of $50.36.

IMAX Stock Performance

Shares of IMAX opened at $43.21 on Friday. The stock has a 50 day simple moving average of $39.99 and a 200 day simple moving average of $38.03. IMAX has a 52-week low of $24.20 and a 52-week high of $45.88. The firm has a market capitalization of $2.38 billion, a PE ratio of 60.02, a P/E/G ratio of 1.61 and a beta of 0.37.

IMAX (NYSE:IMAX - Get Free Report) last posted its earnings results on Thursday, July 23rd. The company reported $0.43 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.30 by $0.13. The business had revenue of $102.84 million during the quarter, compared to analysts' expectations of $96.09 million. IMAX had a return on equity of 15.65% and a net margin of 9.84%.IMAX's revenue for the quarter was up 12.2% compared to the same quarter last year. During the same period in the prior year, the business earned $0.26 EPS. Equities research analysts predict that IMAX will post 1.3 EPS for the current fiscal year.

Insider Activity

In other news, CEO Richard L. Gelfond sold 8,943 shares of IMAX stock in a transaction that occurred on Monday, April 27th. The shares were sold at an average price of $37.33, for a total value of $333,842.19. Following the sale, the chief executive officer directly owned 765,002 shares in the company, valued at $28,557,524.66. This trade represents a 1.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 20.55% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the business. 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 valued at $142,960,000 after buying an additional 1,230,267 shares during the last quarter. Westfield Capital Management Co. LP boosted its stake in shares of IMAX by 44.6% during the 4th quarter. Westfield Capital Management Co. LP now owns 2,346,486 shares of the company's stock worth $86,726,000 after buying an additional 723,861 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of IMAX by 1.9% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,237,230 shares of the company's stock worth $47,026,000 after buying an additional 23,401 shares during the last quarter. Nantahala Capital Management LLC grew its holdings in shares of IMAX by 24.9% in the 2nd quarter. Nantahala Capital Management LLC now owns 1,133,993 shares of the company's stock valued at $31,706,000 after acquiring an additional 225,742 shares in the last quarter. Finally, Victory Capital Management Inc. grew its holdings in shares of IMAX by 1.9% in the 4th quarter. Victory Capital Management Inc. now owns 1,104,071 shares of the company's stock valued at $40,806,000 after acquiring an additional 20,079 shares in the last quarter. Institutional investors own 93.51% of the company's stock.

More IMAX News

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: IMAX reported better-than-expected second-quarter results, with EPS and revenue both topping Wall Street estimates, while management reaffirmed full-year guidance and highlighted margin expansion and network growth. IMAX Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: Strong box-office traction for The Odyssey is boosting confidence that IMAX can sustain higher ticket sales and premium-screen utilization, with reports suggesting the film could be a transformational release for the company. The Odyssey is cleaning up for IMAX. Expect the momentum to continue
• Positive Sentiment: Analysts turned more bullish after earnings, with JPMorgan, Wells Fargo, Barrington, and Wedbush all raising price targets, and Wedbush reiterating Outperform on expectations for a stronger film pipeline, market-share gains, and international expansion. IMAX price target boosted by Wedbush on growth outlook
• Positive Sentiment: Investor attention is also being reinforced by unusual call-option activity and multiple stories about sold-out IMAX 70mm showings, signaling strong near-term demand sentiment around the stock. Imax's CEO says it's time to hike prices as tickets to ‘The Odyssey' resell for $1,000
• Neutral Sentiment: IMAX disclosed a new regulatory risk tied to geopolitical, trade, and other global expansion challenges, which could matter over time but does not appear to be driving near-term trading. IMAX Confronts Rising Geopolitical, Regulatory and Trade Risks Threatening Global Expansion

About IMAX

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.