Imax (IMAX) Interest Coverage: 5.25 (As of Mar. 2026) — 71% Below Median


IMAX Imax Corp IMAX
76 GF Score
Price $44.22
GF Value $26.75
Valuation Significantly Overvalued
! 6 Warning Signs
View Full Analysis

What is Imax Interest Coverage?

Imax IMAX +0.68% 76 Interest Coverage is 5.25 as of Mar. 2026, which is 71% below its 10-year median of 18.28. GuruFocus rates IMAX with a GF Score™ of 76/100 and a GF Value™ of $26.75 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 609 Media - Diversified companies, Imax ranks worse than 50.41% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Imax's Operating Income for the three months ended in Mar. 2026 was $10.0 Mil. Imax's Interest Expense for the three months ended in Mar. 2026 was $-1.9 Mil. Imax's interest coverage for the quarter that ended in Mar. 2026 was 5.25. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Imax's Interest Coverage or its related term are showing as below:

IMAX' s Interest Coverage Range Over the Past 10 Years
Min: 1.3   Med: 18.28   Max: 33.17
Current: 11.65


IMAX's Interest Coverage is ranked worse than
50.41% of 609 companies
in the Media - Diversified industry
Industry Median: 11.88 vs IMAX: 11.65

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Imax  (NYSE:IMAX) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Imax Interest Coverage Related Terms


Imax Interest Coverage Historical Data

* Premium members only.

The historical data trend for Imax's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Imax Interest Coverage Chart

Imax Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.30 0.00 7.84 5.89 12.73

Imax Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.32 7.85 15.85 18.17 5.25

IMAX vs AMC, BATRA, IQ: Interest Coverage Comparison

For the Entertainment subindustry, Imax's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Imax Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Imax's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Imax's Interest Coverage falls into.


IMAX
76GF Score
Imax Corp IMAX
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Imax Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Imax's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Imax's Interest Expense was $-7.4 Mil. Its Operating Income was $93.7 Mil. And its Long-Term Debt & Capital Lease Obligation was $244.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*93.707/-7.362
=12.73

Imax's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Imax's Interest Expense was $-1.9 Mil. Its Operating Income was $10.0 Mil. And its Long-Term Debt & Capital Lease Obligation was $244.1 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*9.951/-1.896
=5.25

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 5.25 mean?
Imax (IMAX) has a Interest Coverage of 5.25 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Imax and its competitors. This is 71% below median its historical median of 18.28. Over the past decade, Imax's Interest Coverage has ranged from 1.30 to 33.17. According to the industry distribution chart, Imax ranks #307 out of 609 companies in the Media - Diversified industry, placing it in the top 50.4%.
Is Imax's Interest Coverage too high?
Imax's current Interest Coverage of 5.25 is 71% below median its 10-year median of 18.28. Over the past 10 years, this metric has ranged from a low of 1.30 to a high of 33.17. The Media - Diversified industry median Interest Coverage is 11.88. Imax's value of 5.25 is 55.8% below this industry median. Based on the distribution chart, Imax ranks #307 out of 609 companies in the Media - Diversified industry, which is below the industry midpoint. Overall, Imax has a GF Score™ of 76/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Imax's Interest Coverage compare to AMC and BATRA?
According to the Media - Diversified industry distribution chart, Imax ranks #307 out of 609 companies for Interest Coverage. This places Imax in the lower half of its industry. The industry median Interest Coverage is 11.88. Imax's value of 5.25 is 55.8% below this benchmark. Historically, Imax's own Interest Coverage has ranged from 1.30 to 33.17 over the past decade. While the company's 10-year median is 18.28 vs. the industry median of 11.88, Imax has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.88, based on 609 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Imax's current Interest Coverage of 5.25 is 55.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Imax and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Imax's current Interest Coverage is 5.25, which is 71% below median its own 10-year median of 18.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Imax stock overvalued right now?
Based on GuruFocus' analysis, Imax (IMAX) is currently considered Significantly Overvalued. The stock's GF Value™ is $26.75, compared to a current price of $44.22 — trading 65.3% above its estimated fair value. The current Interest Coverage is 5.25, which is 71% below median its 10-year median of 18.28 and 55.8% below the Media - Diversified industry median of 11.88. Imax's overall GF Score™ is 76/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Imax (IMAX), the current Interest Coverage is 5.25 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Imax (IMAX) Overvalued in 2026?

Based on GuruFocus' analysis, Imax stock appears to be overvalued. The current stock price of $44.22 is trading 65.3% above its estimated GF Value™ of $26.75. GuruFocus considers Imax to be Significantly Overvalued.

Key valuation signals for IMAX:

  • Interest Coverage: 5.25 (71% below median its 10-year median of 18.28)
  • GF Value™: $26.75 vs. price of $44.22 (65.3% above fair value)
  • GF Score™: 76/100 with 6 warning signs
  • Industry Position: 55.8% below the Media - Diversified median (#307 of 609)

No single metric tells the full story. See the IMAX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Imax Business Description

Other Exchanges IMA:Germany
Address 2525 Speakman Drive, Mississauga, ON, CAN, L5K 1B1
Imax Corp is a technology platform for entertainment and events. Through its proprietary software, auditorium architecture, patented intellectual property, and specialized equipment, IMAX offers end-to-end solution to create superior, immersive content experiences for which the IMAX brand is globally renowned. The Company has two reportable segments being Content Solutions and Technology Products and Services. The Company leverages its proprietary technology and engineering in all aspects of its business, which principally consists of the IMAX film remastering and the sale or lease of premium IMAX theater systems.
76GF Score

Get the complete analysis for IMAX

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$44.22
Price
$26.75
GF Value