IMAX expands share repurchase program by $100 million

NEW YORK - IMAX Corporation (NYSE: IMAX), currently trading near its 52-week high of $28.42, announced Thursday an increase of $100 million to its share repurchase program and extended the program by one year through June 30, 2027. The expansion brings the company’s total share repurchase authorization to $500 million, with approximately $250 million remaining available. According to InvestingPro analysis, IMAX appears slightly overvalued at current levels, though the company maintains strong financial health with liquid assets exceeding short-term obligations.

Since the program began on July 1, 2017, IMAX has repurchased 15.1 million common shares, representing approximately a 23% net reduction in shares outstanding, for an aggregate purchase price of $249.3 million. The company’s stock has demonstrated remarkable performance, with InvestingPro data showing a 76% return over the past year. Get access to 12 additional exclusive ProTips and comprehensive analysis through InvestingPro’s detailed research reports.

The company stated that repurchases may be made either in the open market or through private transactions, including under Rule 10b5-1 plans, subject to market conditions and legal requirements. IMAX is not obligated to repurchase shares and may suspend or discontinue the program at any time.

The repurchase program does not include shares repurchased in connection with the administration of employee share-based compensation plans.

As of March 31, 2025, IMAX operated 1,810 systems across 89 countries and territories, including 1,738 commercial multiplexes, 11 commercial destinations, and 61 institutional locations. With a market capitalization of $1.47 billion and moderate debt levels, IMAX has maintained profitable operations over the last twelve months, achieving a gross profit margin of 56%.

IMAX is headquartered in New York, Toronto, and Los Angeles, with additional offices in London, Dublin, Tokyo, and Shanghai. Shares of IMAX China Holding, Inc., a subsidiary of IMAX Corporation, trade on the Hong Kong Stock Exchange under the stock code 1970.

This information is based on a press release statement from IMAX Corporation.

In other recent news, IMAX Corporation has caught the attention of several analyst firms following its impressive first-quarter earnings performance. Both Texas Capital Securities and B.Riley have reaffirmed their Buy ratings on IMAX, each with a price target of $36.00, highlighting strong financial results that exceeded expectations. B.Riley analysts have also increased their 2025 and 2026 Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (AEBITDA) estimates, citing robust box office performances in China and the U.S., as well as a promising movie slate. Meanwhile, Benchmark analysts maintained their Buy rating with a $30.00 price target, expressing confidence in IMAX’s growth prospects driven by a record number of films shot for its format and expanding global partnerships.

Despite rumors of a potential ban on Hollywood films in China, Benchmark analysts noted that there has been no official confirmation of such a ban, and current release schedules remain unaffected. Texas Capital Securities also emphasized that IMAX is well-positioned to withstand any potential restrictions, thanks to its ability to showcase local language content. The firm’s analysts believe that the rumored ban is unlikely, given China’s economic considerations and the importance of Hollywood films to its market. These developments underscore a positive outlook for IMAX’s operational and financial trajectory, with analysts continuing to express confidence in the company’s future performance.

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