Magnite (NASDAQ:MGNI) Stock Rating Raised to "Buy" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Magnite to “Buy” from “Hold.” Overall, analysts rate the stock “Moderate Buy,” with an average price target of $31.
• Magnite beat quarterly estimates, reporting EPS of $0.33 versus $0.29 expected and revenue of $204.2 million versus $190.2 million; revenue rose 22.4% year over year.
• Company insiders have sold shares recently, including about 355,000 shares worth $9.2 million over 90 days, though some transactions were made under pre-arranged trading plans.

Magnite (NASDAQ:MGNI - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued on Saturday, Wall Street Zen reports.

Other analysts have also issued research reports about the company. Royal Bank Of Canada upped their target price on Magnite from $27.00 to $30.00 and gave the stock an "outperform" rating in a research note on Thursday, November 5th. Needham & Company LLC increased their price target on shares of Magnite from $25.00 to $30.00 and gave the company a "buy" rating in a research report on Thursday, September 3rd. Weiss Ratings downgraded shares of Magnite from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, November 4th. Susquehanna lifted their price target on shares of Magnite from $30.00 to $35.00 and gave the stock a "positive" rating in a research note on Thursday, November 5th. Finally, BTIG Research boosted their price objective on shares of Magnite from $27.00 to $33.00 and gave the stock a "buy" rating in a report on Monday. Ten research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $31.00.

Magnite Trading Down 0.2%

Shares of MGNI stock opened at $29.29 on Friday. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.36. The business has a 50-day moving average price of $24.58 and a two-hundred day moving average price of $18.20. Magnite has a 12-month low of $10.82 and a 12-month high of $29.78. The firm has a market cap of $4.20 billion, a P/E ratio of 43.15, a price-to-earnings-growth ratio of 0.89 and a beta of 2.44.

Magnite (NASDAQ:MGNI - Get Free Report) last posted its quarterly earnings data on Wednesday, November 4th. The company reported $0.33 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.29 by $0.04. The firm had revenue of $204.20 million during the quarter, compared to analysts' expectations of $190.19 million. Magnite had a return on equity of 10.94% and a net margin of 23.58%. The company's revenue for the quarter was up 22.4% compared to the same quarter last year. During the same period in the prior year, the business earned $0.20 EPS. Equities analysts anticipate that Magnite will post 0.68 EPS for the current fiscal year.

Insider Activity

In other news, Director Douglas S. Knopper sold 37,337 shares of the business's stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $26.28, for a total value of $981,216.36. Following the completion of the sale, the director owned 51,136 shares of the company's stock, valued at approximately $1,343,854.08. The trade was a 42.20% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Katie Evans sold 32,285 shares of the stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $23.63, for a total value of $762,894.55. Following the sale, the insider owned 466,897 shares of the company's stock, valued at $11,032,776.11. This represents a 6.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 355,307 shares of company stock valued at $9,192,207. Company insiders own 3.20% of the company's stock.

Hedge Funds Weigh In On Magnite

A number of large investors have recently bought and sold shares of MGNI. Signaturefd LLC increased its position in shares of Magnite by 35.8% during the third quarter. Signaturefd LLC now owns 1,715 shares of the company's stock valued at $43,000 after acquiring an additional 452 shares in the last quarter. Allworth Financial LP lifted its position in Magnite by 63.7% in the 2nd quarter. Allworth Financial LP now owns 1,567 shares of the company's stock valued at $30,000 after acquiring an additional 610 shares in the last quarter. GAMMA Investing LLC lifted its position in Magnite by 32.1% in the 3rd quarter. GAMMA Investing LLC now owns 2,916 shares of the company's stock valued at $74,000 after acquiring an additional 708 shares in the last quarter. Pinnacle Associates Ltd. lifted its position in Magnite by 1.2% in the 3rd quarter. Pinnacle Associates Ltd. now owns 68,742 shares of the company's stock valued at $1,736,000 after acquiring an additional 825 shares in the last quarter. Finally, Fifth Third Bancorp boosted its stake in Magnite by 59.3% during the 3rd quarter. Fifth Third Bancorp now owns 2,380 shares of the company's stock valued at $60,000 after purchasing an additional 886 shares during the last quarter. 73.40% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Magnite

Investors following MGNI have been watching these headlines:

• Positive Sentiment: An analysis describes Magnite’s CTV growth as solid, while coverage of its expanded Gracenote deal sees potential value in the company’s streaming-TV opportunity. These themes add to the backdrop of a recent quarter in which Magnite beat earnings and revenue estimates. Gracenote deal analysis
• Neutral Sentiment: Analyst commentary is not uniformly bullish on upside: one valuation assessment says MGNI may be near fair value despite a raised outlook. Magnite fair-value analysis
• Negative Sentiment: Several Magnite executives and a director reported selling shares in transactions dated November 9 and 11, totaling roughly 92,000 shares, or about $2.7 million. The CTO’s sale was under a pre-arranged trading plan, and sellers retained substantial holdings, but the cluster of sales may still temper investor sentiment. Magnite insider sales report

About Magnite

Magnite, Inc. operates a sell-side advertising platform that helps publishers, streaming services and app developers sell digital advertising inventory through programmatic auctions. Its technology connects those sellers with advertisers and their agencies seeking to buy ad placements. The company supports advertising across connected TV, online video, mobile applications and desktop formats. Its offerings include tools for managing and monetizing ad inventory, including streaming-focused ad-serving technology.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.