IMAX (NYSE:IMAX) Downgraded to Buy Rating by Wall Street Zen

IMAX (NYSE:IMAX) was downgraded by investment analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a research note issued on Saturday.

A number of other brokerages have also recently issued reports on IMAX. JPMorgan Chase & Co. upped their target price on shares of IMAX from $47.00 to $48.00 and gave the company an “overweight” rating in a report on Thursday. The Goldman Sachs Group raised IMAX from a “sell” rating to a “neutral” rating and boosted their price target for the stock from $22.00 to $34.00 in a research report on Tuesday, November 25th. B. Riley Financial reaffirmed a “buy” rating on shares of IMAX in a research report on Monday, December 8th. Wedbush reiterated an “outperform” rating and set a $46.00 target price on shares of IMAX in a research note on Monday, February 23rd. Finally, Weiss Ratings restated a “buy (b)” rating on shares of IMAX in a research note on Monday, December 29th. Ten research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $43.00.

IMAX Trading Up 2.6%

NYSE IMAX opened at $42.86 on Friday. IMAX has a 12 month low of $20.48 and a 12 month high of $43.16. The stock has a 50 day moving average of $36.44 and a 200-day moving average of $33.99. The company has a market cap of $2.31 billion, a PE ratio of 69.13, a PEG ratio of 2.07 and a beta of 0.38.

IMAX (NYSE:IMAX) last issued its earnings results on Wednesday, February 25th. The company reported $0.58 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.15. The business had revenue of $125.21 million for the quarter, compared to the consensus estimate of $120.30 million. IMAX had a net margin of 8.50% and a return on equity of 13.69%. The firm’s revenue for the quarter was up 35.1% on a year-over-year basis. During the same period in the previous year, the company earned $0.27 earnings per share. As a group, sell-side analysts predict that IMAX will post 0.91 EPS for the current fiscal year.

Institutional Investors Weigh In On IMAX

Institutional investors have recently modified their holdings of the business. CIBC Private Wealth Group LLC bought a new position in IMAX during the third quarter worth about $27,000. Quarry LP grew its position in shares of IMAX by 166.8% during the 4th quarter. Quarry LP now owns 875 shares of the company’s stock worth $32,000 after purchasing an additional 547 shares in the last quarter. TD Waterhouse Canada Inc. increased its holdings in shares of IMAX by 125.0% during the second quarter. TD Waterhouse Canada Inc. now owns 900 shares of the company’s stock worth $25,000 after purchasing an additional 500 shares during the period. Jones Financial Companies Lllp raised its position in shares of IMAX by 43.8% in the third quarter. Jones Financial Companies Lllp now owns 1,041 shares of the company’s stock valued at $34,000 after buying an additional 317 shares in the last quarter. Finally, First Horizon Corp bought a new stake in shares of IMAX in the third quarter valued at approximately $34,000. Institutional investors own 93.51% of the company’s stock.

Trending Headlines about IMAX

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: Q4 earnings beat and strong growth — IMAX reported $0.58 EPS vs. $0.43 consensus and revenue of $125.2M (up ~35% y/y), driven by blockbuster titles and higher profitability. This is the primary catalyst for the stock move. Earnings Report
• Positive Sentiment: Analyst upgrades — JPMorgan raised its price target to $48 and kept an “overweight” rating, signaling meaningful upside; Benchmark also raised its target to $44 and reiterated a “buy”. Analyst bullishness supports further upside sentiment. Analyst Note Benchmark Note
• Positive Sentiment: Strong box-office backdrop and targets — Management outlined a $1.4B global box-office target for 2026 and is expanding premium content and network reach, suggesting recurring upside if tentpoles and slate perform. Box Office Target
• Positive Sentiment: Content wins and programming diversification — Dune 3 secured exclusive IMAX opening-weekend play in select markets (good for premium ticket sales), Studio Ghibli re-releases and live F1 broadcasts broaden non-traditional revenue streams. Dune 3 Article Ghibli Re-release F1 in IMAX
• Neutral Sentiment: Institutional support — Rosenblatt reiterated a buy and other boutiques remain constructive; this helps sentiment but is not new fundamental strength. Rosenblatt Note
• Neutral Sentiment: Investor materials available — The earnings call transcript and slide deck were published for deeper inspection; useful for gauging guidance and margin drivers but not an immediate price catalyst. Earnings Call Transcript
• Negative Sentiment: Opening-weekend windowing risk — Major title Avengers: Doomsday will not have an IMAX opening-weekend release in the U.S., which could blunt upside from that particular tentpole and offset some gains from other exclusives. Avengers Windowing

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.