IMAX (IMAX)

If you’re aiming to crush your class stock market game, IMAX could be your golden ticket. With the post-pandemic movie landscape looking a bit rocky, IMAX is defying expectations and positioning itself as a top stock to buy now. While the domestic box office is about 15% below pre-pandemic levels, IMAX has found a unique groove in a turbulent market. Instead of owning theaters, IMAX licenses its cutting-edge technology to operators, raking in revenue from service fees and maintenance, which means they don’t rely solely on ticket sales. “We don’t sell popcorn,” CEO Richard Gelfond quipped, emphasizing their tech-focused business model.

Even with strikes causing Hollywood delays, IMAX has an ace up its sleeve. About 75% of its screens are outside North America, allowing them to generate box office revenue from local-language films that aren’t impacted by strikes. Plus, big-budget films are still drawing crowds, and IMAX’s technology is perfectly suited for the jaw-dropping visuals that keep audiences coming back. Analyst Doug Creutz from TD Cowen pointed out that the top 10 grossing movies last year accounted for an impressive 56% of the domestic box office, a significant uptick from previous years.

One standout hit is “Oppenheimer,” a three-hour biopic that has surprised everyone by raking in nearly $780 million globally. IMAX’s format was made for movies like this, and it snagged a whopping 20% of the opening weekend receipts for the film, its highest share ever. Gelfond noted the film’s extended run on IMAX screens, highlighting how this kind of success exposes new audiences to their premium viewing experience.

Now, if you want to win that stock market game, adopting a high-risk, high-reward strategy is crucial. Momentum trading can give you the edge you need to make quick gains, and IMAX fits the bill perfectly right now. While this strategy isn’t typically recommended for long-term investing, it can help you score points in a competition like this. For long-term growth, diversification is key—consider investing in an S&P 500 index fund to spread your risk while building wealth over time.

IMAX is also on the expansion path, with 84 new system signings already this year, which is a 79% increase over 2022. With shares jumping recently due to “Oppenheimer’s” success, now is the time to pay attention. Although IMAX’s stock is up 29% this year, it’s still lagging behind its peers, making it a potentially undervalued investment. Analyst Alicia Reese from Wedbush calls IMAX “the best way to play the theatrical rebound in 2023 as it gains market share.” Once the Hollywood strikes settle, this stock could really take off.

So as you gear up for your stock market game, consider IMAX. With its innovative approach and unique position in the industry, this could be the stock that helps you come out on top. Don’t wait too long; the opportunity to jump on this cinematic wave might just be the winning move you need!