By Angela Palumbo
It's a bird! It's a plane! It's time to buy IMAX stock, at least according to Seaport Research.
Analyst David Joyce wrote in a research note on Thursday that a slate of movies coming out in the days and months ahead will do well with the IMAX viewing experience, making now a perfect time to buy the stock.
"More people are choosing this premium moviegoing experience, more content is being created specifically to leverage the IMAX specs, and more screens are being added to and upgraded within the global platform, " Joyce wrote. He rates IMAX as a Buy with a $31 price target, which implies an 18% increase from the stock's closing price of $26.30 on Wednesday.
Shares of IMAX were up 0.5% to $26.44 on Thursday.
IMAX's larger screens, high-resolution images, and more immersive sound systems tend to attract people going to see movies with striking visual effects and action sequences. Customers pay a little more than for tickets to other theaters.
There are several movies that have already been launched, and even more coming out later in the year, that are both highly anticipated and likely to attract an IMAX audience. F1: The Movie was released on June 23 while Jurassic World Rebirth came out on July 2.
Superman comes out this Friday and Fantastic Four: First Steps hits theaters on July 24. Wicked: For Good comes out Nov. 21 while Avatar: Fire and Ash is scheduled to be released Dec. 19.
Demand for IMAX viewing has already shown signs of strength. The company said on June 30 that it generated 23% of total box-office sales during opening weekend for F1.
"IMAX has delivered 20% or better of the domestic debut on eight films in history, with three having come in recent months -- Sinners, Mission: Impossible -- The Final Reckoning, and now F1: The Movie," IMAX said.
Still, there are risks ahead. The economic environment remains uncertain as President Donald Trump announces his latest round of tariffs. It is possible people will choose to cut back on nonessential spending, including trips to the movies, if prices of everyday goods rise.
IMAX reports its second-quarter earnings on July 24.
Write to Angela Palumbo at angela.palumbo@dowjones.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
July 10, 2025 15:04 ET (19:04 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.