IMAX (NYSE:IMAX) Hits New 12-Month High – Should You Buy?

IMAX Corporation (NYSE:IMAX)’s stock price hit a new 52-week high on Thursday . The company traded as high as $43.31 and last traded at $42.9320, with a volume of 130222 shares traded. The stock had previously closed at $42.18.

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. Wedbush reaffirmed an “outperform” rating and set a $46.00 target price on shares of IMAX in a research report on Thursday, April 23rd. Benchmark upped their target price on IMAX from $44.00 to $60.00 and gave the stock a “buy” rating in a research report on Friday, May 22nd. Rosenblatt Securities reaffirmed a “buy” rating and set a $47.00 target price on shares of IMAX in a research report on Monday, April 20th. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and set a $60.00 target price on shares of IMAX in a research report on Friday, May 22nd. Finally, Wall Street Zen lowered IMAX from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Ten equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $48.00.

IMAX Trading Up 0.2%

The firm has a market capitalization of $2.32 billion, a PE ratio of 64.96, a price-to-earnings-growth ratio of 1.49 and a beta of 0.37. The business has a 50-day moving average of $37.45 and a 200 day moving average of $37.25.

IMAX (NYSE:IMAX) last released its quarterly earnings results on Thursday, April 30th. The company reported $0.17 EPS for the quarter, beating analysts’ consensus estimates of $0.15 by $0.02. The business had revenue of $81.38 million during the quarter, compared to analyst estimates of $79.82 million. IMAX had a return on equity of 13.61% and a net margin of 9.08%.IMAX’s quarterly revenue was down 6.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.13 EPS. On average, sell-side analysts expect that IMAX Corporation will post 1.34 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Richard L. Gelfond sold 8,943 shares of the stock in a transaction on Monday, April 27th. The stock was sold at an average price of $37.33, for a total value of $333,842.19. Following the completion of the sale, the chief executive officer directly owned 765,002 shares of the company’s stock, valued at approximately $28,557,524.66. This represents a 1.16% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Kevin Douglas sold 330,200 shares of the stock in a transaction on Monday, March 16th. The shares were sold at an average price of $37.82, for a total value of $12,488,164.00. Following the completion of the sale, the insider directly owned 3,657,450 shares of the company’s stock, valued at $138,324,759. The trade was a 8.28% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 933,064 shares of company stock valued at $35,201,610 over the last three months. 20.55% of the stock is currently owned by insiders.

Institutional Investors Weigh In On IMAX

Several large investors have recently made changes to their positions in the business. Orbis Allan Gray Ltd increased its position in shares of IMAX by 31.7% during the 2nd quarter. Orbis Allan Gray Ltd now owns 5,113,033 shares of the company’s stock valued at $142,960,000 after purchasing an additional 1,230,267 shares during the last quarter. Westfield Capital Management Co. LP grew its stake in shares of IMAX by 44.6% during the 4th quarter. Westfield Capital Management Co. LP now owns 2,346,486 shares of the company’s stock worth $86,726,000 after acquiring an additional 723,861 shares during the period. Dimensional Fund Advisors LP grew its stake in shares of IMAX by 1.9% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,237,230 shares of the company’s stock worth $47,026,000 after acquiring an additional 23,401 shares during the period. Nantahala Capital Management LLC grew its stake in shares of 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 during the period. Finally, Victory Capital Management Inc. grew its stake in shares of IMAX by 1.9% during the 4th quarter. Victory Capital Management Inc. now owns 1,104,071 shares of the company’s stock worth $40,806,000 after acquiring an additional 20,079 shares during the period. 93.51% of the stock is 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.