IMAX (NYSE:IMAX) Stock Price Down 5.9% – What’s Next?

IMAX Corporation (NYSE:IMAX)’s stock price dropped 5.9% on Wednesday . The company traded as low as $33.82 and last traded at $33.92. Approximately 366,664 shares were traded during mid-day trading, a decline of 57% from the average daily volume of 852,182 shares. The stock had previously closed at $36.06.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on IMAX. JPMorgan Chase & Co. raised shares of IMAX from a “neutral” rating to an “overweight” rating and raised their price target for the company from $32.00 to $47.00 in a report on Monday, December 15th. Benchmark restated a “buy” rating on shares of IMAX in a research report on Monday. Barrington Research lifted their target price on shares of IMAX from $37.00 to $42.00 and gave the stock an “outperform” rating in a research report on Monday, December 8th. Wells Fargo & Company increased their price target on IMAX from $40.00 to $47.00 and gave the company an “overweight” rating in a report on Thursday, December 18th. Finally, Rosenblatt Securities raised their price target on IMAX from $42.00 to $47.00 and gave the stock a “buy” rating in a research note on Monday, December 8th. Ten investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $41.50.

IMAX Stock Performance

The business’s 50-day moving average price is $36.11 and its 200-day moving average price is $31.59. The stock has a market cap of $1.83 billion, a P/E ratio of 48.03, a P/E/G ratio of 1.78 and a beta of 0.37.

IMAX (NYSE:IMAX) last posted its quarterly earnings data on Thursday, October 23rd. The company reported $0.47 earnings per share for the quarter, beating analysts’ consensus estimates of $0.31 by $0.16. The firm had revenue of $106.65 million for the quarter, compared to analysts’ expectations of $102.88 million. IMAX had a return on equity of 9.91% and a net margin of 10.47%.The business’s quarterly revenue was up 16.6% on a year-over-year basis. During the same period in the previous year, the firm earned $0.35 EPS. As a group, equities research analysts expect that IMAX Corporation will post 0.91 earnings per share for the current year.

Insider Buying and Selling

In other IMAX news, VP Robert D. Lister sold 50,143 shares of the company’s stock in a transaction that occurred on Friday, November 7th. The shares were sold at an average price of $34.67, for a total value of $1,738,457.81. Following the completion of the transaction, the vice president directly owned 161,421 shares in the company, valued at $5,596,466.07. This represents a 23.70% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Giovanni M. Dolci sold 6,188 shares of the firm’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $34.25, for a total transaction of $211,939.00. Following the sale, the executive vice president owned 33,000 shares in the company, valued at $1,130,250. The trade was a 15.79% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 24.08% of the company’s stock.

Hedge Funds Weigh In On IMAX

Several large investors have recently made changes to their positions in IMAX. Orbis Allan Gray Ltd boosted its stake in shares of IMAX by 31.7% in the second quarter. Orbis Allan Gray Ltd now owns 5,113,033 shares of the company’s stock worth $142,960,000 after acquiring an additional 1,230,267 shares during the period. Westfield Capital Management Co. LP bought a new position in IMAX in the 3rd quarter worth approximately $53,141,000. Nantahala Capital Management LLC grew its holdings in IMAX by 24.9% during the 2nd quarter. Nantahala Capital Management LLC now owns 1,133,993 shares of the company’s stock valued at $31,706,000 after buying an additional 225,742 shares in the last quarter. Victory Capital Management Inc. raised its position in shares of IMAX by 0.3% during the third quarter. Victory Capital Management Inc. now owns 1,083,992 shares of the company’s stock valued at $35,501,000 after buying an additional 3,494 shares during the last quarter. Finally, JPMorgan Chase & Co. raised its position in shares of IMAX by 10.9% during the second quarter. JPMorgan Chase & Co. now owns 1,029,602 shares of the company’s stock valued at $28,788,000 after buying an additional 101,048 shares during the last quarter. 93.51% of the stock is currently owned by hedge funds and other institutional investors.

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.