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Movie Audiences Around the World Flocking to IMAX

By:
Lucas Downey
Published: Dec 13, 2024, 13:09 GMT+00:00

The IMAX Corporation (IMAX) is drawing increasingly larger moviegoing audiences, making its shares rise.

Wall Street. FX Empire

In this article:

IMAX focuses on entertainment technology, specifically motion picture technologies and presentations. The company’s theaters provide an immersive experience that is catching on with audiences worldwide. The company installed 49 new or upgraded theaters during 2024’s third quarter, which is a 63% increase over a year prior, bringing the annual total to 100. It expects to install 130-150 systems for the year.

In its third-quarter earnings report for fiscal 2025, IMAX’s per-share earnings were $0.35, which blew past consensus expectations. Revenue came in at $91.5 million, mostly driven by technology products and services sales. Plus, domestic box office revenue produced the third-best results ever, beating 2019’s figure by 45%, and the company expects more in the future on the back of strong film releases.

It’s no wonder IMAX shares are up 72% this year – and they could rise more. MAPsignals data shows how a rare bullish signal reflects Big Money investors are betting heavily on the forward picture of the stock.

Big Money Watching IMAX Rise

Institutional volumes reveal plenty. In the last year, IMAX has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in IMAX shares. They reflect our proprietary inflow signal, pushing the stock higher:

Source: www.mapsignals.com

Plenty of technology names are under accumulation right now. But there’s a powerful fundamental story happening with IMAX.

IMAX Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, IMAX has strong sales and earnings growth:

  • 3-year sales growth rate (+42.9%)
  • 3-year sales earnings rate (+39%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +16.1%.

Now it makes sense why the stock has been powering to new heights. IMAX has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

IMAX has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last year, with more potentially on the horizon. The blue bars below show when IMAX was a top pick…driving prices higher:

Source: www.mapsignals.com

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

IMAX Price Prediction

The IMAX rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds positions in IMAX in personal and managed accounts at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.

About the Author

Lucas Downeycontributor

Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

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