IMAX (NYSE:IMAX) Stock Rating Raised to Buy at Wall Street Zen

Wall Street Zen upgraded shares of IMAX (NYSE:IMAX) from a hold rating to a buy rating in a report released on Saturday morning,Wall Street Zen reports.

A number of other research analysts also recently issued reports on the stock. Morgan Stanley started coverage on shares of IMAX in a research report on Thursday, September 24th. They set an “overweight” rating and a $63.00 target price for the company. The Goldman Sachs Group lifted their price objective on IMAX from $42.00 to $50.00 and gave the company a “neutral” rating in a research note on Friday, September 4th. JPMorgan Chase & Co. upped their target price on IMAX from $47.00 to $50.00 and gave the stock an “overweight” rating in a research note on Friday, July 24th. Rosenblatt Securities lifted their price target on IMAX from $60.00 to $65.00 and gave the company a “buy” rating in a research report on Wednesday, September 9th. Finally, Barrington Research upped their price objective on IMAX from $46.00 to $50.00 and gave the stock an “outperform” rating in a research report on Friday, July 24th. Eleven research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, IMAX has an average rating of “Moderate Buy” and a consensus target price of $56.15.

IMAX Stock Down 1.1%

IMAX stock opened at $50.77 on Friday. The stock has a 50-day moving average price of $52.37 and a 200 day moving average price of $43.73. The company has a market capitalization of $2.78 billion, a price-to-earnings ratio of 70.51, a price-to-earnings-growth ratio of 1.55 and a beta of 0.49. IMAX has a 52 week low of $30.74 and a 52 week high of $57.73.

IMAX (NYSE:IMAX) last issued its quarterly earnings results on Thursday, July 23rd. The company reported $0.43 earnings per share for the quarter, topping the consensus estimate of $0.30 by $0.13. IMAX had a net margin of 9.84% and a return on equity of 15.47%. The company had revenue of $102.84 million for the quarter, compared to the consensus estimate of $96.09 million. During the same quarter in the prior year, the company earned $0.26 EPS. IMAX’s quarterly revenue was up 12.2% on a year-over-year basis. Research analysts anticipate that IMAX will post 1.62 EPS for the current fiscal year.

Insiders Place Their Bets

In other IMAX news, insider Kenneth Weissman sold 8,000 shares of the stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $54.54, for a total transaction of $436,320.00. Following the transaction, the insider owned 28,205 shares in the company, valued at approximately $1,538,300.70. This represents a 22.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Natasha Fernandes sold 20,000 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $54.63, for a total value of $1,092,600.00. Following the completion of the sale, the chief financial officer directly owned 35,596 shares in the company, valued at approximately $1,944,609.48. The trade was a 35.97% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 507,257 shares of company stock worth $26,673,571. Company insiders own 20.55% of the company’s stock.

Institutional Investors Weigh In On IMAX

A number of institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in IMAX in the 2nd quarter worth $115,881,000. Nantahala Capital Management LLC acquired a new stake in shares of IMAX in the second quarter valued at about $26,228,239. Bank of America Corp DE acquired a new stake in shares of IMAX in the second quarter valued at about $17,420,000. Royal Bank of Canada increased its stake in shares of IMAX by 126.5% during the first quarter. Royal Bank of Canada now owns 75,777 shares of the company’s stock worth $2,880,000 after purchasing an additional 362,021 shares in the last quarter. Finally, Primecap Management Co. CA purchased a new stake in shares of IMAX during the second quarter worth about $10,902,000. Institutional investors and hedge funds own 93.51% of the company’s stock.

About IMAX

IMAX Corporation (NYSE: IMAX) is an entertainment technology company that develops and licenses premium-format motion picture systems for cinemas and other venues. Its offerings combine specialized projection and display technology, immersive sound systems, theater design, and large-format screens to provide audiences with an enhanced presentation experience.

The company supports the theatrical release of films through its IMAX DMR (Digital Media Remastering) process, which adapts and optimizes content for IMAX presentations.