Insider Selling: IMAX (NYSE:IMAX) CEO Sells $10,947,198.08 in Stock

IMAX Corporation (NYSE:IMAX) CEO Richard Gelfond sold 205,504 shares of the stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $53.27, for a total transaction of $10,947,198.08. Following the transaction, the chief executive officer directly owned 765,002 shares in the company, valued at $40,751,656.54. The trade was a 21.17% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

IMAX Stock Up 0.4%

Shares of NYSE IMAX opened at $52.93 on Friday. The stock’s 50 day moving average price is $44.65 and its two-hundred day moving average price is $40.15. IMAX Corporation has a 52-week low of $26.17 and a 52-week high of $54.50. The stock has a market capitalization of $2.90 billion, a P/E ratio of 73.51, a PEG ratio of 1.74 and a beta of 0.38.

IMAX (NYSE:IMAX) last issued its earnings results on Thursday, July 23rd. The company reported $0.43 EPS for the quarter, topping the consensus estimate 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 during the quarter, compared to analyst estimates of $96.09 million. During the same quarter last year, the firm earned $0.26 EPS. The business’s revenue was up 12.2% on a year-over-year basis. On average, analysts anticipate that IMAX Corporation will post 1.44 EPS for the current year.

More IMAX News

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: Rosenblatt Securities reiterated a Buy rating and established a $60 price target, signaling continued confidence in IMAX’s growth prospects and potential upside. Rosenblatt reiterates Buy rating
• Positive Sentiment: The Odyssey has reportedly surpassed $1.29 billion globally and become IMAX’s biggest release ever. The result highlights strong audience demand for IMAX presentations and could support additional box-office-related revenue and future studio partnerships. The Odyssey becomes IMAX’s biggest release
• Positive Sentiment: Demand for Dune: Part Three appears strong, with early 70mm IMAX screenings nearly selling out and reports of heavy ticket demand. This points to potentially robust attendance and premium-ticket economics for upcoming releases. Dune IMAX 70mm screenings nearly sell out
• Neutral Sentiment: IMAX amended Chief Legal Officer and Senior Executive Vice President Robert D. Lister’s employment agreement on August 19. The update may provide management continuity, but no major financial or strategic change was disclosed. IMAX extends chief legal officer agreement
• Negative Sentiment: CEO Richard Gelfond sold a combined 456,757 shares from August 18–20 for approximately $24 million, reducing his direct ownership by a sizable amount. The transactions were made under a pre-arranged Rule 10b5-1 plan, which lessens concerns about a sudden loss of confidence, but the selling could still pressure sentiment while IMAX trades at an elevated valuation. SEC insider trading filing

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in IMAX. CIBC Private Wealth Group LLC bought a new stake in IMAX in the third quarter valued at $27,000. Quarry LP boosted its holdings in shares of IMAX by 166.8% during 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 bought a new position in shares of IMAX during the fourth quarter worth about $40,000. Caitong International Asset Management Co. Ltd grew its position in shares of IMAX by 2,310.4% during the third quarter. Caitong International Asset Management Co. Ltd now owns 1,157 shares of the company’s stock worth $38,000 after acquiring an additional 1,109 shares during the last quarter. Finally, Aster Capital Management DIFC Ltd grew its position in shares of IMAX by 863.0% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 1,666 shares of the company’s stock worth $62,000 after acquiring an additional 1,493 shares during the last quarter. 93.51% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

IMAX has been the subject of several recent research reports. Barrington Research boosted their target price on shares of IMAX from $46.00 to $50.00 and gave the company an “outperform” rating in a research note on Friday, July 24th. Rosenblatt Securities restated a “buy” rating and issued a $60.00 price target on shares of IMAX in a research report on Wednesday. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and issued a $60.00 price target on shares of IMAX in a report on Friday, May 22nd. B. Riley Financial lifted their price target on shares of IMAX from $48.00 to $52.00 and gave the company a “buy” rating in a report on Monday, July 20th. Finally, Weiss Ratings raised shares of IMAX from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. Ten research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, IMAX presently has a consensus rating of “Moderate Buy” and an average price target of $51.55.

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.