Roth Capital Has Bullish Outlook for IMAX FY2025 Earnings

Key Points

• Roth Capital has raised its FY2025 earnings per share estimates for IMAX, increasing expectations from $0.92 to $1.06 with a "Buy" rating and a price target of $40.00.
• Other analysts, including Rosenblatt Securities and JPMorgan Chase, have also increased their price targets for IMAX, reinforcing a consensus rating of "Moderate Buy."
• Despite recent positive revisions, Goldman Sachs maintains a "sell" rating on IMAX, reflecting mixed sentiment among analysts regarding the stock's outlook.

IMAX Corporation (NYSE:IMAX - Free Report) - Roth Capital increased their FY2025 EPS estimates for shares of IMAX in a research note issued on Tuesday, October 14th. Roth Capital analyst E. Handler now expects that the company will earn $1.06 per share for the year, up from their prior estimate of $0.92. Roth Capital has a "Buy" rating and a $40.00 price objective on the stock. The consensus estimate for IMAX's current full-year earnings is $0.91 per share.

Other analysts have also recently issued research reports about the stock. Rosenblatt Securities increased their price target on shares of IMAX from $37.00 to $42.00 and gave the company a "buy" rating in a research note on Thursday, October 9th. JPMorgan Chase & Co. increased their price objective on shares of IMAX from $28.00 to $31.00 and gave the stock a "neutral" rating in a research report on Thursday, October 9th. Benchmark increased their price objective on shares of IMAX from $30.00 to $32.00 and gave the stock a "buy" rating in a research report on Friday, July 25th. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of IMAX in a research report on Wednesday, October 8th. Finally, The Goldman Sachs Group reaffirmed a "sell" rating on shares of IMAX in a research report on Friday, July 25th. Nine investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, IMAX presently has a consensus rating of "Moderate Buy" and an average target price of $35.10.

IMAX Price Performance

IMAX stock opened at $31.31 on Wednesday. The firm has a 50 day simple moving average of $29.80 and a 200-day simple moving average of $27.46. IMAX has a 1-year low of $19.91 and a 1-year high of $34.14. The stock has a market cap of $1.68 billion, a price-to-earnings ratio of 52.18, a price-to-earnings-growth ratio of 2.06 and a beta of 0.62.

IMAX (NYSE:IMAX - Get Free Report) last posted its quarterly earnings results on Thursday, July 24th. The company reported $0.26 earnings per share for the quarter, beating the consensus estimate of $0.19 by $0.07. IMAX had a net margin of 9.04% and a return on equity of 8.62%. The business had revenue of $91.68 million during the quarter, compared to analysts' expectations of $93.04 million. During the same quarter in the prior year, the company posted $0.18 EPS. The business's revenue for the quarter was up 3.1% on a year-over-year basis.

Institutional Investors Weigh In On IMAX

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Orbis Allan Gray Ltd raised its stake in IMAX by 31.7% during the 2nd quarter. Orbis Allan Gray Ltd now owns 5,113,033 shares of the company's stock worth $142,960,000 after acquiring an additional 1,230,267 shares in the last quarter. Ameriprise Financial Inc. raised its stake in IMAX by 8.3% during the 1st quarter. Ameriprise Financial Inc. now owns 1,974,068 shares of the company's stock worth $52,019,000 after acquiring an additional 150,552 shares in the last quarter. Nantahala Capital Management LLC raised its stake in IMAX by 24.9% during the 2nd quarter. Nantahala Capital Management LLC now owns 1,133,993 shares of the company's stock worth $31,706,000 after acquiring an additional 225,742 shares in the last quarter. JPMorgan Chase & Co. raised its stake in IMAX by 10.9% during the 2nd quarter. JPMorgan Chase & Co. now owns 1,029,602 shares of the company's stock worth $28,788,000 after acquiring an additional 101,048 shares in the last quarter. Finally, Primecap Management Co. CA raised its stake in IMAX by 1.3% during the 2nd quarter. Primecap Management Co. CA now owns 751,602 shares of the company's stock worth $21,015,000 after acquiring an additional 9,902 shares in the last quarter. 93.51% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at IMAX

In other news, VP Robert D. Lister sold 20,000 shares of IMAX stock in a transaction on Monday, September 15th. The shares were sold at an average price of $32.80, for a total transaction of $656,000.00. Following the completion of the sale, the vice president directly owned 161,421 shares of the company's stock, valued at approximately $5,294,608.80. The trade was a 11.02% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Kenneth Ian Weissman sold 15,072 shares of IMAX stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $25.65, for a total transaction of $386,596.80. Following the sale, the insider directly owned 26,133 shares of the company's stock, valued at approximately $670,311.45. This trade represents a 36.58% decrease in their ownership of the stock. The disclosure for this sale can be found here. 24.08% of the stock is currently owned by insiders.

IMAX Company Profile

IMAX Corporation, together with its subsidiaries, operates as a technology platform for entertainment and events worldwide. The company operates in two segments, Content Solutions and Technology Products and Services. The company offers IMAX DMR, a proprietary technology that digitally remasters films and other content into IMAX formats for distribution to the IMAX network; IMAX Enhanced that provides end-to-end technology across streaming content and entertainment devices at home; and SSIMWAVE, an AI-driven video quality solutions for media and entertainment companies.

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