IMAX IMAX Corporation
$52.31
Platform & Compounding FCF 85%
Two-stage FCF DCF
Mild · Conviction

Overvalued

Trading 2.6% above fair value

You pay $52.31
Bear $33.04
Fair $51.01
Bull $70.34
Bear $33.04 -36.8% 8% stage 1 growth, 11% discount
Fair $51.01 -2.5% 14% stage 1 growth, 11% discount
Bull $70.34 +34.5% 18% stage 1 growth, 11% discount

Adjust Assumptions

13.6%
11.0%
3.0%

Key Value Driver

FCF growth rate (14% base case)

Terminal Value % of EV 42%
Implied Market Multiple 29.0x
Market is pricing in (growth) 13.9% vs 13.6% base

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above.

Average Target (26 analysts) $57.00
Divergence from AlphaVal 11%

Summary

Using a two-stage FCF DCF with 14% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $51.01 per share.

Warnings

⚠ Stock-based employee pay equals 77% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions