IMAX (IMAX) AI Stock Analysis

• Market Cap: $1.43B
• Dividend Yield: N/A
• Average Volume (3M): 800.59K
• Price to Earnings (P/E): 58.1
• Beta (1Y): 0.12
• Revenue Growth: -1.98%
• EPS Growth: -1.18%
• Country: US
• Employees: 700
• Sector: Communication Services
• Sector Strength: 83
• Industry: Entertainment
• EPS (TTM): 0.13
• Shares Outstanding: 53,742,016
• 10 Day Avg. Volume: 785,918
• 30 Day Avg. Volume: 800,585
• PEG Ratio: -0.35
• Price to Book (P/B): 3.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -54.30
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 0.82
• Enterprise Value/Gross Profit: 5.91
• Enterprise Value/Ebitda: 2.75
• 1Y Price Target: $32.56
• Price Target Upside: 23.80% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 77 Outperform
• Price Target: $33.00 ▲(25.48%Upside)

IMAX's overall stock score is buoyed by strong financial performance and growth potential from strategic corporate initiatives. While technical indicators and earnings sentiment are positive, high valuation metrics present some risk. The company's proactive steps to enhance shareholder value and expand its market presence contribute positively to the score.

Positive Factors

Earnings

IMAX's Q2 box office performance exceeded forecasts, generating $278 million, which led to an increase in revenue estimates.

Market Position

IMAX is in a unique position in premium cinema with a powerful slate of upcoming titles and a lean operating model that drives strong margin expansion and long-term earnings leverage.

Strategic Partnerships

IMAX continues to deepen its relationships with studios, filmmakers, and streamers, driving market share gains and network growth.

Negative Factors

Market Competition

Filmmakers wield significant leverage with development and distribution partners; Greta Gerwig, for example, championed IMAX for Narnia, securing an unprecedented Netflix deal with a four-week exclusive theatrical window before streaming.

IMAX Business Overview & Revenue Model

Company Description

IMAX Corporation is a world leader in entertainment technology, specializing in immersive cinematic experiences through its large-format theaters and cutting-edge projection systems. The company operates within the entertainment and media sectors, offering moviegoers a unique viewing experience through its proprietary IMAX digital, laser, and 3D technologies. In addition to its theater network, IMAX licenses its technology to commercial multiplex operators, enabling them to deliver the IMAX experience.

How the Company Makes Money

IMAX Corporation generates revenue through several key streams. Primarily, the company earns money by leasing its proprietary IMAX systems to commercial theaters under joint revenue sharing arrangements, where it receives a percentage of box office receipts. Additionally, IMAX earns from the sale of its projection systems and related equipment. The company also generates revenue through maintenance services, the digital re-mastering of films into the IMAX format (IMAX DMR), and licensing its technology to third-party theaters. Significant partnerships with major film studios to release blockbuster movies in the IMAX format further bolster its earnings, as these partnerships often lead to higher ticket prices and increased audience turnout.

IMAX Financial Statement Overview

Summary

IMAX exhibits a promising financial trajectory with improved profitability, stable leverage, and strong cash flow generation. However, monitoring debt levels and sustaining revenue growth are crucial for maintaining momentum.

Income Statement

IMAX has shown solid improvement in its profitability metrics. The TTM gross profit margin stands strong at 54.6%, and the net profit margin has improved to 12.6% from a negative position in prior years. Revenue growth has stabilized post-pandemic, with a slight increase in TTM revenue compared to the previous year. EBIT and EBITDA margins are healthy, indicating efficient operations.

Balance Sheet

The company maintains a stable financial position with a debt-to-equity ratio of 0.77, indicating a balanced leverage. ROE improved to 15.2% in the TTM, showcasing enhanced profitability for shareholders. The equity ratio slightly decreased to 35.3%, reflecting a cautious approach to asset financing.

Cash Flow

IMAX demonstrated strong cash flow management with a significant increase in free cash flow, growing by 79.0% in the TTM. The operating cash flow to net income ratio is robust at 1.95, and free cash flow to net income ratio stands at 1.17, indicating effective cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	359.75M	352.21M	374.84M	300.81M	254.88M	137.00M
Gross Profit	196.49M	190.20M	214.34M	156.35M	134.41M	21.54M
EBITDA	100.33M	111.28M	112.96M	52.77M	74.16M	-69.41M
Net Income	25.11M	26.06M	25.34M	-22.80M	-22.33M	-143.78M
Balance Sheet
Total Assets	848.30M	830.40M	814.67M	821.15M	883.25M	997.75M
Cash, Cash Equivalents and Short-Term Investments	97.07M	100.59M	76.20M	97.40M	189.71M	317.38M
Total Debt	279.60M	266.26M	252.06M	263.02M	226.11M	305.68M
Total Liabilities	464.01M	452.18M	469.08M	491.39M	452.88M	532.98M
Stockholders Equity	299.50M	299.47M	273.14M	263.36M	356.08M	385.49M
Cash Flow
Free Cash Flow	53.03M	29.62M	25.78M	-15.30M	-11.71M	-32.27M
Operating Cash Flow	88.76M	70.84M	58.62M	17.32M	6.07M	-23.01M
Investing Cash Flow	-48.70M	-41.22M	-31.79M	-53.29M	-7.00K	-9.26M
Financing Cash Flow	-24.60M	-6.04M	-48.53M	-58.51M	-132.72M	240.57M

IMAX Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 26.30
• 50DMA: Negative
• 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 IMAX, the sentiment is Neutral. The current price of 26.3 is below the 20-day moving average (MA) of 27.77, below the 50-day MA of 26.98, and above the 200-day MA of 24.66, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 40.10 is Neutral, neither overbought nor oversold. The STOCH value of 25.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IMAX.

IMAX Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMAX	77 Outperform	$1.43B	58.06	9.00%	―	-1.98%	-1.18%
CNK	65 Neutral	$3.43B	19.72	71.46%	1.04%	-0.80%	13.07%
MSGE	63 Neutral	$1.83B	13.89	1222.83%	―	5.81%	133.05%
Sector *	58 Neutral	kr13.94B	3.64	19.17%	3.83%	-7.94%	154.39%
AMC	49 Neutral	$1.23B	―	20.03%	―	-5.43%	26.07%

IMAX Corporate Events

IMAX Expands Share Repurchase Program by $100 Million

On June 11, 2025, IMAX Corporation held its Annual General Meeting where shareholders elected directors, approved PricewaterhouseCoopers LLP as auditors, and endorsed executive compensation. On June 12, 2025, IMAX announced a $100 million increase to its share repurchase program, extending it through June 30, 2027, bringing the total authorization to $500 million. This move reflects IMAX’s strategic focus on enhancing shareholder value and maintaining a strong market position.

The most recent analyst rating on (IMAX) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on IMAX stock, see the IMAX Stock Forecast page.

IMAX Appoints Jose Zlatar as New Accounting Officer

On April 23, 2025, IMAX Corporation’s Board of Directors appointed Jose Zlatar as the new principal accounting officer, effective April 30, 2025. Zlatar, who joined the company in February 2025 as Senior Vice President, Finance, will take over the accounting responsibilities from CFO Natasha Fernandes, who will continue as the principal financial officer. Zlatar brings extensive experience from his previous roles at Canadian National Railway and Yamana Gold Inc., and his appointment is expected to strengthen IMAX’s financial leadership and operations.