IMAX (NYSE:IMAX) Trading Down 5.8% – Here’s What Happened

IMAX Corporation (NYSE:IMAX) shares fell 5.8% during trading on Monday . The company traded as low as $37.69 and last traded at $37.5570. Approximately 539,507 shares changed hands during mid-day trading, a decline of 52% from the average session volume of 1,115,587 shares. The stock had previously closed at $39.88.

Analyst Ratings Changes

IMAX has been the subject of several research reports. Barrington Research raised their target price on IMAX from $42.00 to $46.00 and gave the company an “outperform” rating in a research note on Friday, May 1st. Weiss Ratings downgraded shares of IMAX from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, June 23rd. Wedbush reissued an “outperform” rating and issued a $46.00 price target on shares of IMAX in a report on Thursday, April 23rd. JPMorgan Chase & Co. reduced their price objective on shares of IMAX from $48.00 to $47.00 and set an “overweight” rating for the company in a research report on Friday, May 1st. Finally, Keefe, Bruyette & Woods reaffirmed a “market perform” rating and issued a $60.00 price objective on shares of IMAX in a research note on Friday, May 22nd. Nine equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $48.00.

IMAX Trading Down 5.7%

The company’s 50-day moving average is $38.94 and its 200 day moving average is $37.85. The firm has a market cap of $2.07 billion, a PE ratio of 57.69, a P/E/G ratio of 1.41 and a beta of 0.37.

IMAX (NYSE:IMAX) last announced its earnings results on Thursday, April 30th. The company reported $0.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.15 by $0.02. The company had revenue of $81.38 million for the quarter, compared to the consensus estimate of $79.82 million. IMAX had a net margin of 9.08% and a return on equity of 13.61%. The company’s revenue was down 6.1% on a year-over-year basis. During the same period in the previous year, the business earned $0.13 EPS. On average, research analysts predict that IMAX Corporation will post 1.34 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Richard L. Gelfond sold 135,046 shares of the stock in a transaction that occurred on Friday, April 10th. The shares were sold at an average price of $37.82, for a total value of $5,107,439.72. Following the completion of the sale, the chief executive officer directly owned 765,002 shares of the company’s stock, valued at $28,932,375.64. This represents a 15.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 340,040 shares of company stock worth $12,715,513. Insiders own 20.55% of the company’s stock.

Institutional Investors Weigh In On IMAX

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. CIBC Private Wealth Group LLC acquired a new stake in shares of IMAX during the 3rd quarter valued at $27,000. Quarry LP increased its stake in shares of IMAX by 166.8% in the fourth quarter. Quarry LP now owns 875 shares of the company’s stock worth $32,000 after acquiring an additional 547 shares during the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in shares of IMAX by 2,310.4% during the third quarter. Caitong International Asset Management Co. Ltd now owns 1,157 shares of the company’s stock worth $38,000 after acquiring an additional 1,109 shares in the last quarter. Torren Management LLC purchased a new stake in shares of IMAX during the fourth quarter worth $40,000. Finally, Aster Capital Management DIFC Ltd boosted its position in IMAX by 863.0% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 1,666 shares of the company’s stock valued at $62,000 after purchasing an additional 1,493 shares during the last quarter. Hedge funds and other institutional investors own 93.51% of the company’s stock.

About IMAX

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.