Wedbush analysts believe IMAX Corp (NYSE:IMAX) warrants a premium valuation, given what they called the “trifecta” of upcoming filmed-for-IMAX (FFI) titles across geographies, global footprint and margin expansion.
In a note to clients on Friday, the analysts wrote that they expect the company will be poised to surpass peak earnings before interest, taxes, depreciation, and amortization (EBITDA) margins in the next two years.
They pointed to four factors working in IMAX’s favor: an uptick in volume and quality of FFI titles in the fourth quarter and 2026, which is likely to drive incremental market share gains; its global box office benefiting from a mix of local language and global fare; more alternative content boosting revenue; and global footprint expansion.
The analysts added that the company’s 2025 to 2026 global film line up underscores IMAX’s growing prominence in Hollywood and worldwide as an essential partner for major theatrical releases across genres, languages, and geographies.
Wedbush reiterated their ‘Outperform’ rating and $39 per share price target on IMAX stock.
The company is expected to report its third quarter 2025 financial results on October 23, before the markets open.
IMAX shares rose 1.7% to about $32 in late-morning trading on Friday.