Guru Level Analysis, as usual! Depth, Logic, Balance. Thanks PvS. Having some experience with IMAX's demanding and deliberate adaptation of Laser Technology, I continue to have an interest in the direction of this major Cinema Saga... The Laser Guy
Thank you as always for the kind words. I had an interesting discussion in Cannes about the problems laser has of projecting black and white images (red ‘bleed’). Not many of those films around in IMAX, but I assume equally true for their laser projection technology.
This is the absolute peak window for IMAX to sell. The company has enjoyed a perfect seven-year run, with post-pandemic consumer shifts playing directly into its premium strengths.
However, this valuation is fragile, heavily inflated by years of wild market exuberance rather than long-term fundamentals.
The biggest risk is that IMAX is now a brand-licensing company, not a technology innovator, relying heavily on third-party components. That brand equity is highly vulnerable. With the massive rollout of EPIC by Vue and Disney’s aggressive Infinity Vision push, competitors are rapidly dismantling IMAX's monopoly on premium exclusivity. When studios and exhibitors realize they can deliver elite experiences without paying hefty IMAX royalties, the moat evaporates.
Ultimately, IMAX must sell now, and sell fast. A looming energy crisis could spike theater overhead, squeeze consumer wallets, and cause this premium valuation to disappear overnight.
Guru Level Analysis, as usual! Depth, Logic, Balance. Thanks PvS. Having some experience with IMAX's demanding and deliberate adaptation of Laser Technology, I continue to have an interest in the direction of this major Cinema Saga... The Laser Guy
Thank you as always for the kind words. I had an interesting discussion in Cannes about the problems laser has of projecting black and white images (red ‘bleed’). Not many of those films around in IMAX, but I assume equally true for their laser projection technology.
This is the absolute peak window for IMAX to sell. The company has enjoyed a perfect seven-year run, with post-pandemic consumer shifts playing directly into its premium strengths.
However, this valuation is fragile, heavily inflated by years of wild market exuberance rather than long-term fundamentals.
The biggest risk is that IMAX is now a brand-licensing company, not a technology innovator, relying heavily on third-party components. That brand equity is highly vulnerable. With the massive rollout of EPIC by Vue and Disney’s aggressive Infinity Vision push, competitors are rapidly dismantling IMAX's monopoly on premium exclusivity. When studios and exhibitors realize they can deliver elite experiences without paying hefty IMAX royalties, the moat evaporates.
Ultimately, IMAX must sell now, and sell fast. A looming energy crisis could spike theater overhead, squeeze consumer wallets, and cause this premium valuation to disappear overnight.