IMAX (NYSE:IMAX) CEO Sells $5,323,000.00 in Stock

IMAX Corporation (NYSE:IMAX) CEO Richard Gelfond sold 100,000 shares of the firm’s stock in a transaction on 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 sale, the chief executive officer directly owned 665,002 shares of the company’s stock, valued at $35,398,056.46. This represents a 13.07% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

IMAX Price Performance

IMAX stock opened at $52.93 on Friday. The company has a fifty day moving average price of $44.65 and a two-hundred day moving average price of $40.15. IMAX Corporation has a one year low of $26.17 and a one year high of $54.50. The stock has a market cap of $2.90 billion, a price-to-earnings ratio of 73.51, a price-to-earnings-growth ratio of 1.74 and a beta of 0.38.

IMAX (NYSE:IMAX) last announced 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. The business had revenue of $102.84 million during the quarter, compared to the consensus estimate of $96.09 million. IMAX had a net margin of 9.84% and a return on equity of 15.47%. IMAX’s revenue was up 12.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.26 EPS. Research analysts anticipate that IMAX Corporation will post 1.44 EPS for the current fiscal year.

Key Stories Impacting IMAX

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

Hedge Funds Weigh In On IMAX

A number of institutional investors have recently modified their holdings of the business. Nykredit A S bought a new position in IMAX in the 2nd quarter valued at approximately $105,000. Triumph Capital Management increased its holdings in shares of IMAX by 3.0% during the second quarter. Triumph Capital Management now owns 17,295 shares of the company’s stock worth $689,000 after buying an additional 504 shares in the last quarter. Susquehanna Fundamental Investments LLC acquired a new position in shares of IMAX during the second quarter worth $380,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of IMAX by 5,002.8% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 140,838 shares of the company’s stock valued at $5,614,000 after acquiring an additional 138,078 shares during the last quarter. Finally, Hsbc Holdings PLC lifted its stake in shares of IMAX by 117.5% in the 2nd quarter. Hsbc Holdings PLC now owns 10,488 shares of the company’s stock valued at $424,000 after acquiring an additional 70,268 shares during the last quarter. Institutional investors and hedge funds own 93.51% of the company’s stock.

Analysts Set New Price Targets

A number of research firms have recently weighed in on IMAX. Benchmark reissued a “buy” rating on shares of IMAX in a report on Monday, June 22nd. B. Riley Financial upped their price target on shares of IMAX from $48.00 to $52.00 and gave the company a “buy” rating in a research note on Monday, July 20th. Rosenblatt Securities reaffirmed a “buy” rating and set a $60.00 price target on shares of IMAX in a research report on Wednesday. Wells Fargo & Company lifted their price objective on shares of IMAX from $41.00 to $45.00 and gave the stock an “equal weight” rating in a research note on Friday, July 24th. Finally, Wedbush lifted their price objective on shares of IMAX from $46.00 to $54.00 and gave the stock an “outperform” rating in a research note on Friday, July 24th. Ten investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price 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.