IMAX China Holding (1970) AI Stock Analysis

• Market Cap: $2.80B
• Dividend Yield: N/A
• Average Volume (3M): 91.76K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.72
• Revenue Growth: -7.18%
• EPS Growth: -19.63%
• Country: HK
• Employees: 99
• Sector: Communication Services
• Sector Strength: 80
• Industry: Entertainment
• EPS (TTM): 0.22
• Shares Outstanding: 339,191,220
• 10 Day Avg. Volume: 71,200
• 30 Day Avg. Volume: 91,764
• PEG Ratio: -3.74
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 23.43
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $9.50
• Price Target Upside: 13.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 72 Outperform
• Price Target: HK$9.50 ▲(13.23%Upside)

IMAX China Holding's strong financial health and positive technical indicators are the primary strengths, positioning the stock favorably. While the valuation is fair, the lack of a dividend and declining revenues slightly temper the outlook.

IMAX China Holding Business Overview & Revenue Model

Company Description

IMAX China Holding, Inc., an investment holding company, provides digital and film-based motion picture technologies in the People's Republic of China, Hong Kong, Macau, and Taiwan. It operates through three groups: IMAX Technology Network, IMAX Technology Sales and Maintenance, and New Business Initiatives and Other. The company engages in the digital re-mastering of Hollywood and Chinese language films into the IMAX format through a proprietary IMAX DMR conversion process and the exhibition of these films on the IMAX theatre network. It also designs, procures, and provides digital theatre systems at its exhibitor partners' movie theatres, as well as offers related project management, maintenance, and aftermarket services. In addition, the company provides technical research and development, consulting, service, training and marketing services for theatre systems and multimedia technology; and photographic equipment, virtual reality display equipment and related software and hardware, as well as engages in the provision of after-sales services, including installation. Further, it is involved in the wholesale, import, leasing, installing, maintenance, and repairing of movie theatre machinery, equipment, systems, photographic equipment, virtual reality display equipment, and related software; and research and development of software and hardware. Additionally, the company offers gift, handicraft, stationery commodity, clothing and apparel, and electronic products; and creative and conference, business consultation, and culture and art exchange and planning services, as well as operates ticket and publishing agency. It also engages in the design and production of advertising. The company was incorporated in 2010 and is headquartered in Shanghai, China. IMAX China Holding, Inc. is a subsidiary of Imax (Barbados) Holdings, Inc.

How the Company Makes Money

IMAX China Holding generates revenue primarily through three key streams: sales and installation of IMAX theater systems, ongoing maintenance services, and revenue sharing agreements with theater operators. The company receives significant income from the sale and lease of its proprietary projection and sound systems to cinema operators. Additionally, it earns revenue through film licensing and remastering fees, where movies are converted into the IMAX format. Revenue sharing agreements with theaters allow IMAX China to earn a portion of box office sales from films shown in IMAX theaters. Strategic partnerships with major film studios and theater chains also contribute to its income, enhancing its market presence and expanding its network of premium cinema locations.

IMAX China Holding Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	85.54M	81.00M	86.98M	73.33M	112.80M	52.33M
Gross Profit	50.92M	44.02M	54.53M	39.70M	68.19M	19.35M
EBITDA	44.75M	48.38M	53.84M	31.94M	64.67M	8.73M
Net Income	26.27M	22.22M	27.50M	10.76M	38.22M	-26.74M
Balance Sheet
Total Assets	85.34M	333.57M	318.28M	326.40M	349.76M	334.79M
Cash, Cash Equivalents and Short-Term Investments	10.21M	80.05M	63.04M	74.97M	97.74M	88.47M
Total Debt	0.00	1.45M	1.75M	13.91M	4.16M	7.64M
Total Liabilities	82.19M	59.47M	63.91M	93.33M	95.88M	103.19M
Stockholders Equity	3.14M	274.10M	254.37M	233.07M	253.88M	231.61M
Cash Flow
Free Cash Flow	14.65M	20.06M	8.42M	1.07M	22.55M	4.50M
Operating Cash Flow	20.20M	30.82M	12.54M	1.16M	30.14M	9.23M
Investing Cash Flow	-5.23M	-10.74M	-3.79M	-13.74M	10.19M	-4.72M
Financing Cash Flow	-11.43M	-2.10M	-19.68M	-5.84M	-33.37M	-9.41M

IMAX China Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.39
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1970, the sentiment is Positive. The current price of 8.39 is above the 20-day moving average (MA) of 8.35, above the 50-day MA of 7.98, and above the 200-day MA of 7.85, indicating a bullish trend. The MACD of 0.09 indicates Positive momentum. The RSI at 54.47 is Neutral, neither overbought nor oversold. The STOCH value of 24.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1970.

IMAX China Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1970	72 Outperform	$2.80B	16.44	8.41%	―	-7.18%	-19.63%
1981	60 Neutral	HK$2.48B	24.39	4.16%	4.00%	1.09%	―
1060	58 Neutral	HK$29.58B	73.88	2.29%	―	24.36%	-18.99%
Sector *	55 Neutral	AU$3.53B	16.62	-1.37%	3.13%	4.07%	-17.03%
1132	52 Neutral	HK$134.38M	―	-12.77%	―	-8.19%	-498.76%
0391	46 Neutral	HK$580.53M	―	-20.32%	―	27.72%	-117.07%
1003	43 Neutral	HK$1.43B	―		―	―	―

IMAX China Holding Corporate Events

IMAX China Schedules Board Meeting to Review Interim Results

IMAX China Holding, Inc. has announced a board meeting scheduled for July 24, 2025, to discuss and approve the interim results for the first half of the year ending June 30, 2025. The meeting will also consider the possibility of an interim dividend and address other business matters, indicating a review of the company’s financial performance and potential shareholder returns.

IMAX China Grants RSUs to Directors as Part of Remuneration Package

IMAX China Holding, Inc. announced the grant of 473,400 Restricted Share Units (RSUs) to five directors as part of their remuneration package. This grant represents approximately 0.14% of the company’s issued share capital and is valued at around HK$3,896,082. The RSUs, which are exempt from certain reporting and approval requirements, will vest immediately without performance conditions, and a professional trustee will manage the administration and vesting process.

IMAX China Approves Key Resolutions at Annual General Meeting

IMAX China Holding, Inc. held its Annual General Meeting on June 12, 2025, where all proposed resolutions were passed. Key resolutions included the re-election of directors, authorization for directors to fix remuneration, reappointment of auditors, and mandates for share buybacks and issuance. These decisions reflect a strategic focus on maintaining strong governance and operational flexibility, potentially enhancing shareholder value.

IMAX China Announces 2025 Annual General Meeting Agenda

IMAX China Holding, Inc. has announced its Annual General Meeting scheduled for June 12, 2025, in Shanghai, China. Key agenda items include the re-election of three non-executive directors, the re-appointment of PricewaterhouseCoopers as auditors, and the authorization for the company to buy back shares and issue additional shares. These resolutions aim to strengthen the company’s governance and provide flexibility in capital management, potentially impacting its market positioning and shareholder value.

IMAX China Highlights Financial Disclosure by Controlling Shareholder

IMAX China Holding, Inc. announced that its controlling shareholder, IMAX Corporation, released its first quarter 2025 financial results and quarterly report. The financial information, prepared according to U.S. Generally Accepted Accounting Principles, is not directly comparable to IMAX China’s financial results reported under International Financial Reporting Standards. This announcement ensures that all shareholders and potential investors have equal access to the company’s financial information, providing transparency and maintaining compliance with disclosure obligations.

IMAX China Announces Key Board Restructuring

IMAX China Holding, Inc. has announced significant changes in its board of directors, effective April 23, 2025. Jim Athanasopoulos has resigned as an executive director and authorized representative to focus on his role at IMAX Corporation, while Daniel Wade Manwaring has been appointed as the new authorized representative. Additionally, Jiande Chen has been redesignated from an executive director to a non-executive director, and Natasha Fernandes has been appointed as a non-executive director. These changes reflect a strategic realignment within the company’s leadership, potentially impacting its strategic direction and stakeholder relations.

IMAX China Announces New Board of Directors

IMAX China Holding, Inc. has announced a new composition of its board of directors, effective April 23, 2025, with Richard Gelfond as Chairman and Daniel Manwaring as Executive Director. This restructuring of the board, which includes a mix of executive, non-executive, and independent directors, is likely to influence the company’s strategic direction and governance, potentially impacting its market positioning and stakeholder relations.