IMAX (NYSE:IMAX) Hits New 1-Year High – Still a Buy?

Shares of IMAX Corporation (NYSE:IMAX) reached a new 52-week high on Wednesday . The stock traded as high as $51.30 and last traded at $51.1080, with a volume of 1496881 shares trading hands. The stock had previously closed at $51.00.

IMAX News Roundup

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: The Odyssey generated approximately $52 million in IMAX ticket sales, highlighting the pricing power and consumer demand for premium large-format movie experiences. The film’s performance supports IMAX’s view that exclusive, event-style theatrical releases can create significant value. Christopher Nolan’s The Odyssey Sold $52 Million in IMAX Tickets
• Positive Sentiment: IMAX reported more than $50 million in global ticket sales for The Odyssey for a third consecutive weekend. The sustained results and CEO Richard Gelfond’s comments that demand continues to “defy gravity” reinforce expectations for a strong film slate and operating momentum. The Odyssey fuels Imax stock to all-time high
• Positive Sentiment: Demand for premium screenings remains strong enough that an IMAX 70mm engagement of The Odyssey in Providence has been extended through September 16, suggesting continued audience interest and additional revenue potential. The Odyssey extends its IMAX 70mm film run
• Neutral Sentiment: Spider-Man: Brand New Day is scheduled to begin playing in IMAX theaters, with IMAX splitting screens between the superhero film and The Odyssey. The arrangement broadens the near-term content lineup but may reduce the exclusivity and screen concentration behind Nolan’s blockbuster. Spider-Man and The Odyssey are splitting up IMAX screens
• Negative Sentiment: Coverage noting that Spider-Man initially missed out because of The Odyssey’s exclusive IMAX run underscores a potential tradeoff: allocating screens to the new release could slow the unusually strong momentum of Nolan’s film. The Odyssey Has Already Lost To Spider-Man 4 Despite Its Imax Advantage

Analysts Set New Price Targets

A number of brokerages have recently commented on IMAX. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and issued a $60.00 target price on shares of IMAX in a report on Friday, May 22nd. Wedbush increased their price target on shares of IMAX from $46.00 to $54.00 and gave the stock an “outperform” rating in a research note on Friday, July 24th. 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 research report on Monday, July 20th. Rosenblatt Securities restated a “buy” rating and issued a $47.00 price objective on shares of IMAX in a research note on Monday, July 20th. Finally, HC Wainwright restated a “buy” rating on shares of IMAX in a research note 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. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $50.36.

IMAX Price Performance

The stock has a market cap of $2.80 billion, a price-to-earnings ratio of 70.98, a P/E/G ratio of 1.68 and a beta of 0.38. The stock’s 50-day moving average is $41.67 and its 200 day moving average is $38.73.

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

Institutional Trading of IMAX

Institutional investors have recently modified their holdings of the business. CIBC Private Wealth Group LLC acquired a new position in IMAX during the third quarter worth $27,000. Quarry LP lifted its holdings in IMAX by 166.8% in the fourth quarter. Quarry LP now owns 875 shares of the company’s stock valued at $32,000 after acquiring an additional 547 shares during the period. Torren Management LLC purchased a new stake in shares of IMAX during the 4th quarter worth $40,000. Caitong International Asset Management Co. Ltd boosted its position in shares of IMAX by 2,310.4% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 1,157 shares of the company’s stock worth $38,000 after purchasing an additional 1,109 shares in the last quarter. Finally, Aster Capital Management DIFC Ltd grew its stake in shares of IMAX by 863.0% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 1,666 shares of the company’s stock worth $62,000 after purchasing an additional 1,493 shares during the period. 93.51% of the stock is currently owned by hedge funds and other institutional investors.

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.