This action comes after the entertainment technology company announced last week that it filed to go public in Hong Kong.
"Imax is taking the next step in recognizing value of its China business," analysts said. "From a fundamental view, the insight into Imax's track record on China gives us confidence in Imax's long-term growth prospects."
China EBITDA has increased 33% annually from 2012 to 2014, and the company will see a continued growth in the Chinese Box Office, they noted.
Based on research, analysts expect that the IPO will likely occur within the next 2 to 6 months.
Separately, TheStreet Ratings team rates IMAX CORP as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate IMAX CORP (IMAX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, expanding profit margins and solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income."
Highlights from the analysis by TheStreet Ratings Team goes as follows: