Imax Corp. (IMAX)
NYSE:IMAX
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IMAX
(NYSE:IMAX)
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Rating:68Neutral
Price Target:
$40.00
▲(8.61% Upside)
Action:DowngradedDate:03/31/26
The score is driven primarily by improved financial performance (stronger profitability and cash generation) and a notably positive earnings-call outlook with ambitious margin and growth targets. These are partially offset by weak near-term technical momentum, a high P/E valuation, and modest uncertainty from the CEO’s temporary medical leave.
Positive Factors
Cash generation
Sustained, materially improved cash generation strengthens IMAX's ability to fund network installs, content partnerships, and deleveraging without relying on external equity. Strong FCF provides durable optionality for reinvestment, smoothing cyclicality and supporting strategic initiatives over coming years.
Negative Factors
Top-line volatility
Revenue swings tied to film slate timing and regional release shifts make top-line forecasting difficult. Persistent variability constrains predictability of margins and cash flow, raising execution risk if several mega-titles or regional releases underperform or shift timing in a given year.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash generation
Sustained, materially improved cash generation strengthens IMAX's ability to fund network installs, content partnerships, and deleveraging without relying on external equity. Strong FCF provides durable optionality for reinvestment, smoothing cyclicality and supporting strategic initiatives over coming years.
Read all positive factors
IMAX (IMAX) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.99B
Dividend YieldN/A
Average Volume (3M)959.86K
Price to Earnings (P/E)56.8
Beta (1Y)0.30
Revenue Growth9.30%
EPS Growth67.19%
CountryUS
Employees700
SectorCommunication Services
Sector Strength97
IndustryEntertainment
Share Statistics
EPS (TTM)0.58
Shares Outstanding53,993,015
10 Day Avg. Volume900,642
30 Day Avg. Volume959,862
Financial Highlights & Ratios
PEG Ratio1.74
Price to Book (P/B)5.87
Price to Sales (P/S)4.83
P/FCF Ratio16.67
Enterprise Value/Market Cap1.07
Enterprise Value/Revenue5.21
Enterprise Value/Gross Profit8.76
Enterprise Value/Ebitda20.53
Forecast
1Y Price Target
$45.20Price Target Upside22.73% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering10
EPS Forecast (FY)1.69
Revenue Forecast (FY)$441.44M
IMAX Business Overview & Revenue Model
Company Description
IMAX Corporation, together with its subsidiaries, operates as an entertainment technology company worldwide. It offers cinematic solution through proprietary software, theater architecture, intellectual property, and specialized equipment. The com...
How the Company Makes Money
IMAX primarily generates revenue through a combination of technology-based fees and content-based participation tied to the IMAX theatrical ecosystem. Key revenue streams include: (1) Theater system and services revenue: IMAX sells or leases its p...
IMAX Earnings Call Summary
Earnings Call Date:Feb 25, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 23, 2026
Earnings Call Sentiment Positive
The call presented overwhelmingly positive operational and financial momentum: record box office, revenue, margins, EPS and cash flow, strong network growth and a deep multi-year content slate underpinning ambitious margin and growth targets. The principal negatives were limited, one-time charges and strategic repositioning costs, a higher tax rate, timing volatility in China, and dependency on exhibitors for pricing and rights complexity for alternative/live content. On balance the highlights materially outweigh the lowlights and management articulated clear plans and strong liquidity to capitalize on the opportunity.Positive Updates
Record Global Box Office and Market Share
Global box office of $1.28 billion in 2025, up 40% year-over-year; captured a record 3.8% of global box office, up 700 basis points YoY.
Negative Updates
Q4 One-Time Charges and Goodwill Impairment
Included $22 million of one-time Q4 charges: $15 million for strategic repurchase of convertible notes due 2026 and $7 million non-cash goodwill impairment related to legacy SSIMWAVE business.
Read all updates
Q4-2025 Updates
Positive
Negative
Record Global Box Office and Market Share
Global box office of $1.28 billion in 2025, up 40% year-over-year; captured a record 3.8% of global box office, up 700 basis points YoY.
Read all positive updates
Company Guidance
IMAX guided to a strong 2026 with a projected $1.4 billion in global box office, 160–175 system installations worldwide (targeting a ~45%/55% sales-to-JV mix), and total adjusted EBITDA margin in the mid‑40s with a floor of 45%; looking further out through 2028, management expects revenue growth at a high‑single to low‑double digit CAGR, adjusted EBITDA margin above 50% by 2028, adjusted EPS to grow at roughly twice the rate of revenue, and free cash flow conversion of about 50% in 2026 and rising—they also noted Q1 is expected to be the lowest box office quarter and the company is ~60% booked for 2027.IMAX Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
66
Positive
Cash Flow
75
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 410.21M | 352.21M | 374.84M | 300.81M | 254.88M |
| Gross Profit | 237.57M | 190.20M | 214.34M | 156.35M | 134.41M |
| EBITDA | 133.10M | 111.28M | 112.96M | 52.77M | 74.16M |
| Net Income | 34.88M | 26.06M | 25.34M | -22.80M | -22.33M |
Balance Sheet | |||||
| Total Assets | 894.03M | 830.40M | 814.67M | 821.15M | 883.25M |
| Cash, Cash Equivalents and Short-Term Investments | 151.17M | 100.59M | 76.20M | 97.40M | 189.71M |
| Total Debt | 297.41M | 278.12M | 252.06M | 263.02M | 226.11M |
| Total Liabilities | 466.30M | 452.18M | 469.08M | 491.39M | 452.88M |
| Stockholders Equity | 337.89M | 299.47M | 273.14M | 263.36M | 356.08M |
Cash Flow | |||||
| Free Cash Flow | 118.90M | 29.62M | 25.78M | -15.30M | -11.71M |
| Operating Cash Flow | 127.07M | 70.84M | 58.62M | 17.32M | 6.07M |
| Investing Cash Flow | -41.92M | -41.22M | -31.79M | -53.29M | -7.00K |
| Financing Cash Flow | -34.08M | -6.04M | -48.53M | -58.51M | -132.72M |
IMAX Technical Analysis
Negative
36.83
Price Trends
38.11
Negative
37.20
Negative
33.56
Positive
Market Momentum
-0.20
Positive
42.28
Neutral
15.41
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IMAX, the sentiment is Negative. The current price of 36.83 is below the 20-day moving average (MA) of 37.93, below the 50-day MA of 38.11, and above the 200-day MA of 33.56, indicating a neutral trend. The MACD of -0.20 indicates Positive momentum. The RSI at 42.28 is Neutral, neither overbought nor oversold. The STOCH value of 15.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IMAX.
IMAX Risk Analysis
IMAX disclosed 30 risk factors in its most recent earnings report. IMAX reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
IMAX Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $1.99B | 56.84 | 10.67% | ― | 9.30% | 67.19% | |
65 Neutral | $2.87B | 6.89 | -618.85% | ― | 0.68% | -80.73% | |
61 Neutral | $3.51B | 19.44 | 25.84% | 1.45% | 9.70% | -31.62% | |
61 Neutral | $4.58B | 13.10 | 1.51% | ― | 24.54% | -119.75% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
51 Neutral | $3.21B | -14.33 | 20.86% | ― | 97.19% | -21.46% | |
45 Neutral | $845.06M | -1.27 | 35.45% | ― | 9.74% | 12.29% |
* Communication Services Sector Average
IMAX
IMAX
36.83
15.17
70.04%
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IMAX Corporate Events
Business Operations and StrategyExecutive/Board Changes
IMAX CEO Takes Medical Leave, Leadership Team Oversees Operations
Negative
Mar 30, 2026
On March 30, 2026, IMAX Corporation announced that long-serving CEO Richard Gelfond has taken a temporary medical leave of absence while being treated for pneumonia and will not participate in upcoming company or industry events. To maintain conti...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.