Why IMAX Corporation (IMAX) Stock Is Getting Killed Today – Tanking -3.55%
By
Peggy Goldman January 23, 2020
IMAX to see film delays in China
Jan. 23, 2020 2:06 PM ET|About: IMAX Corporation (IMAX)|By: Clark Schultz, SA News Editor
IMAX (IMAX -4%) says its theatrical releases planned for the upcoming Chinese New Year holiday in China have been delayed by Chinese studios and distributors due to health concerns in the region.
"We have every expectation that these films will be released in 2020 and that audience demand for these releases will remain high," notes the company.
Shares of IMAX are down 11% over the last week.
Source: Press Release
IMAX Corporation (NYSE:IMAX) is one of the stocks that are grabbing investor focus today: sinking -3.55% or (-0.68 points) to $18.34 from its previous close of $19.02. Does this decline mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 240187 contracts so far this session. IMAX shares had a relatively better volume day versus average trading capacity of 267.69 thousand shares, but with a 51.51 million float and a -5.7% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for IMAX stock indicates that the average analyst price target is $27.04 per share. This means the stock has a potential increase of 47.44% from where the IMAX share price has been trading recently.
During the recent trading session for IMAX Corporation (NYSE:IMAX), the company witnessed their stock drop by $-1.86 over a week and tumble down $-2.68 from the price 20 days ago. When compared to their established 52-week high of $25.75, the high they recorded in their recent session happens to be higher. Their established 52-week high was attained by the company on 02/05/19. The recent low of $17.92 stood for a -28.76% since 01/23/20, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.99 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.
Looking at the current readings for IMAX Corporation, the two-week RSI stands at 25.02. This figure suggests that IMAX stock, for now, is overbought, meaning that the shares are not stable in terms of price movement. The stochastic readings, on the other hand, based on the current IMAX readings is similarly very revealing as it has a stochastic reading of 9.37% at this stage. This figure means that IMAX share price today is being overbought.
Technical chart claims that IMAX Corporation (IMAX) would settle between $19.44/share to $19.86/share level. However, if the stock price goes below the $18.75 mark, then the market for IMAX Corporation becomes much weaker. If that happens, the stock price might even plunge as low as $18.47 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -0.78. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Canaccord Genuity raised their recommendation on shares of IMAX from Hold to Buy in their opinion released on November 01. Canaccord Genuity analysts have lowered their rating of IMAX Corporation (NYSE:IMAX) stock from Buy to Hold in a separate flash note issued to investors on February 25. Analysts at The Benchmark Company released an upgrade from Hold to Buy for the stock, in a research note that dated back to April 27.
IMAX equity has an average rating of 2.4, with the figure leaning towards a bullish end. 12 analysts who tracked the company were contacted by Reuters. Amongst them, 2 rated the stock as a hold while the remaining 10 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 10 analysts rated IMAX Corporation (NYSE:IMAX) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, IMAX stock price is currently trading at 15.71X forward 12-month Consensus EPS estimates, and its P/E ratio is 38 while for the average stock in the same group, the multiple is 19.7. IMAX Corporation current P/B ratio of 2.2 means it is trading at a discount against its industry’s 3.7.
IMAX Corporation (IMAX)’s current-quarter revenues are projected to climb by nearly 14.8% to hit $125070, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 5.6% from $374400 to a noteworthy $395510. At the other end of the current quarter income statement, IMAX Corporation is expected to see its adjusted earnings surge by roughly 46.2% to hit $0.38 per share. For the fiscal year, IMAX’s earnings are projected to climb by roughly 16.5% to hit $1.06 per share. |
