IMAX (NYSE:IMAX) Shares Gap Up on Earnings Beat

IMAX Corporation (NYSE:IMAX)’s share price gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $39.30, but opened at $41.75. IMAX shares last traded at $44.7410, with a volume of 1,021,196 shares traded.

The company reported $0.43 EPS for the quarter, topping analysts’ consensus estimates of $0.28 by $0.15. The company had revenue of $102.84 million for the quarter, compared to analyst estimates of $94.69 million. IMAX had a return on equity of 13.61% and a net margin of 9.08%.The business’s revenue was up 12.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.26 earnings per share.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the stock. The Goldman Sachs Group set a $40.00 price target on shares of IMAX in a research report on Thursday, July 9th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $47.00 target price on shares of IMAX in a research note on Monday. Wall Street Zen lowered shares of IMAX from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Weiss Ratings upgraded shares of IMAX from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 16th. Finally, Benchmark reissued a “buy” rating on shares of IMAX in a research note on Monday, June 22nd. Nine research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $47.30.

Insider Transactions at IMAX

In related news, CEO Richard L. Gelfond sold 8,943 shares of IMAX stock in a transaction dated 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 in the company, valued at $28,557,524.66. This trade represents a 1.16% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 20.55% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On IMAX

Institutional investors have recently modified their holdings of the business. Caitong International Asset Management Co. Ltd increased its holdings in IMAX by 28.7% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,489 shares of the company’s stock worth $55,000 after purchasing an additional 332 shares in the last quarter. GAMMA Investing LLC lifted its holdings in shares of IMAX by 22.3% in the fourth quarter. GAMMA Investing LLC now owns 1,874 shares of the company’s stock valued at $69,000 after purchasing an additional 342 shares in the last quarter. ProShare Advisors LLC boosted its position in shares of IMAX by 6.8% during the fourth quarter. ProShare Advisors LLC now owns 8,000 shares of the company’s stock worth $296,000 after buying an additional 511 shares during the period. Charles Schwab Investment Management Inc. boosted its position in shares of IMAX by 0.5% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 108,781 shares of the company’s stock worth $4,021,000 after buying an additional 546 shares during the period. Finally, Quarry LP grew its holdings in shares of IMAX by 166.8% during the fourth quarter. Quarry LP now owns 875 shares of the company’s stock worth $32,000 after buying an additional 547 shares in the last quarter. Institutional investors and hedge funds own 93.51% of the company’s stock.

IMAX Stock Up 12.5%

The stock has a fifty day moving average of $39.60 and a 200-day moving average of $37.94. The firm has a market capitalization of $2.43 billion, a P/E ratio of 68.01, a P/E/G ratio of 1.39 and a beta of 0.37.

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.