Primecap Management Co. CA Makes New $10.90 Million Investment in IMAX Corporation $IMAX

Primecap Management Co. CA acquired a new position in shares of IMAX Corporation (NYSE:IMAX) in the second quarter, HoldingsChannel reports. The fund acquired 273,500 shares of the company’s stock, valued at approximately $10,902,000.

A number of other institutional investors have also recently added to or reduced their stakes in IMAX. AQR Capital Management LLC grew its holdings in shares of IMAX by 47.9% during the 1st quarter. AQR Capital Management LLC now owns 56,348 shares of the company’s stock worth $1,485,000 after purchasing an additional 18,238 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in IMAX by 4.5% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 25,486 shares of the company’s stock worth $672,000 after purchasing an additional 1,091 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in IMAX by 7.9% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 159,714 shares of the company’s stock valued at $4,208,000 after purchasing an additional 11,736 shares in the last quarter. Creative Planning lifted its stake in shares of IMAX by 84.1% during the second quarter. Creative Planning now owns 16,081 shares of the company’s stock worth $450,000 after purchasing an additional 7,344 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of IMAX in the second quarter valued at about $709,000. Hedge funds and other institutional investors own 93.51% of the company’s stock.

Key Stories Impacting IMAX

Here are the key news stories impacting IMAX this week:

• Positive Sentiment: IMAX continues to benefit from strong audience interest in premium screenings, including reported ticket demand in New York and upcoming high-profile releases such as Akira, Dune: Part Three and the limited-run Queen Budapest concert film. These events could support box-office revenue and reinforce the value of IMAX’s format. IMAX ticket demand article Queen Budapest IMAX article
• Positive Sentiment: A new IMAX auditorium is planned for Mann Theatres’ Plymouth location, adding to the company’s theater network and potentially increasing future installation, maintenance and box-office participation revenue. Mann Theatres Plymouth IMAX article
• Positive Sentiment: Management will present at upcoming Bank of America and Goldman Sachs investor conferences in September. The appearances may provide additional detail on theater installations, film demand and growth plans, keeping institutional attention on the stock. IMAX investor conference announcement
• Neutral Sentiment: IMAX recently reached a new one-year high after a rally tied to enthusiasm for its immersive format and expectations that additional theater installations will drive earnings growth. However, the elevated valuation—approximately 73 times earnings—could make the stock sensitive to profit-taking or disappointing guidance. IMAX one-year high article
• Negative Sentiment: Chief Financial Officer Natasha Fernandes sold 20,000 shares for approximately $1.09 million, reducing her direct ownership by nearly 36%. Another insider, Kenneth Ian Weissman, sold 8,000 shares for about $436,000 and reduced his holdings by roughly 22%. Although insider sales do not necessarily indicate weakening fundamentals, the transactions can weigh on sentiment after the stock’s strong run. CFO SEC filing Insider SEC filing
• Negative Sentiment: The planned closure of AMC Kips Bay 15 in New York will remove an IMAX screen, highlighting the risk that theater shutdowns can offset new auditorium openings and reduce the company’s available exhibition footprint. AMC Kips Bay IMAX closure article

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on IMAX shares. Roth Capital boosted their target price on shares of IMAX from $48.00 to $50.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Weiss Ratings raised IMAX from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. Keefe, Bruyette & Woods reissued a “market perform” rating and set a $60.00 price objective on shares of IMAX in a report on Friday, May 22nd. The Goldman Sachs Group reiterated a “neutral” rating and issued a $42.00 price target on shares of IMAX in a research note on Thursday, July 23rd. Finally, Wall Street Zen downgraded IMAX from a “buy” rating to a “hold” rating in a report on Saturday, August 22nd. Ten analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, IMAX has a consensus rating of “Moderate Buy” and a consensus price target of $52.36.

Insiders Place Their Bets

In other IMAX news, CEO Richard L. Gelfond sold 100,000 shares of the firm’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $53.23, for a total value of $5,323,000.00. Following the completion of the transaction, the chief executive officer directly owned 665,002 shares in the company, valued at $35,398,056.46. This trade represents a 13.07% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Natasha Fernandes sold 20,000 shares of the stock in a transaction on Monday, August 24th. The shares were sold at an average price of $54.63, for a total value of $1,092,600.00. Following the completion of the sale, the chief financial officer owned 35,596 shares of the company’s stock, valued at $1,944,609.48. The trade was a 35.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 484,757 shares of company stock worth $25,513,021. Company insiders own 20.55% of the company’s stock.

IMAX Stock Down 2.2%

NYSE:IMAX opened at $52.69 on Thursday. The business’s 50-day moving average price is $45.27 and its 200 day moving average price is $40.56. IMAX Corporation has a 52-week low of $27.67 and a 52-week high of $55.57. The firm has a market cap of $2.89 billion, a P/E ratio of 73.18, a PEG ratio of 1.73 and a beta of 0.38.

IMAX (NYSE:IMAX) last posted its quarterly earnings results on Thursday, July 23rd. The company reported $0.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.30 by $0.13. The firm had revenue of $102.84 million for the quarter, compared to analyst estimates of $96.09 million. IMAX had a net margin of 9.84% and a return on equity of 15.47%. The firm’s quarterly revenue was up 12.2% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.26 earnings per share. Sell-side analysts expect that IMAX Corporation will post 1.49 EPS for the current year.

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.