MNTN (NYSE:MNTN) Stock Gets Downgrade from Wall Street Zen

Key Points

• Wall Street Zen downgraded MNTN from “buy” to “hold.” The broader analyst consensus is also “hold,” with an average price target of $14.15.
• MNTN reported quarterly EPS of $0.10 and revenue of $80.25 million, both below analyst estimates of $0.20 and $87.77 million, respectively, despite revenue growing 14.6% year over year.
• The company cut its revenue outlook amid sales-execution challenges and disruption in its sales organization, adding to investor concerns and recent analyst downgrades.

MNTN (NYSE:MNTN - Get Free Report) was downgraded by Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Saturday, Wall Street Zen reports.

Several other analysts also recently issued reports on MNTN. Tigress Financial reduced their price objective on MNTN from $26.00 to $22.00 and set a "strong-buy" rating on the stock in a research report on Thursday, August 13th. Freedom Broker assumed coverage on shares of MNTN in a research note on Tuesday. They set a "buy" rating and a $16.50 price target on the stock. Citigroup cut MNTN from a "buy" rating to a "neutral" rating and lowered their price objective for the stock from $16.00 to $7.00 in a research report on Thursday. Weiss Ratings upgraded shares of MNTN from a "sell (d)" rating to a "sell (d+)" rating in a research note on Wednesday, August 19th. Finally, Evercore downgraded MNTN from an "outperform" rating to an "in-line" rating and set a $7.00 price target on the stock. in a research note on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $14.15.

MNTN Trading Up 12.2%

Shares of MNTN stock opened at $5.28 on Friday. The business's fifty day simple moving average is $10.55 and its 200 day simple moving average is $9.91. MNTN has a 12 month low of $4.60 and a 12 month high of $14.89. The firm has a market capitalization of $326.47 million, a P/E ratio of 12.89 and a beta of 1.17.

MNTN (NYSE:MNTN - Get Free Report) last announced its quarterly earnings results on Wednesday, November 4th. The company reported $0.10 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.20 by ($0.10). The firm had revenue of $80.25 million during the quarter, compared to the consensus estimate of $87.77 million. MNTN had a return on equity of 18.85% and a net margin of 18.00%. The business's revenue for the quarter was up 14.6% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.08 EPS. Analysts predict that MNTN will post 0.87 EPS for the current fiscal year.

Insider Transactions at MNTN

In other news, major shareholder Baroda Ventures Llc sold 275,115 shares of the stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $12.75, for a total transaction of $3,507,716.25. Following the transaction, the insider owned 6,375,543 shares in the company, valued at $81,288,173.25. This represents a 4.14% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Over the last 90 days, insiders have sold 335,555 shares of company stock worth $4,266,038. 19.60% of the stock is owned by insiders.

Hedge Funds Weigh In On MNTN

Several institutional investors and hedge funds have recently made changes to their positions in the company. State of Alaska Department of Revenue acquired a new stake in MNTN in the 3rd quarter valued at $26,000. Y Intercept Hong Kong Ltd purchased a new stake in MNTN during the 1st quarter valued at $117,000. Chicago Partners Investment Group LLC bought a new stake in MNTN during the 1st quarter valued at approximately $156,000. Hsbc Holdings PLC raised its holdings in shares of MNTN by 45.4% in the first quarter. Hsbc Holdings PLC now owns 18,311 shares of the company's stock worth $161,000 after buying an additional 5,720 shares during the period. Finally, Arrowstreet Capital Limited Partnership purchased a new position in shares of MNTN in the 1st quarter valued at $162,000. Institutional investors and hedge funds own 72.90% of the company's stock.

More MNTN News

Here are the key news stories impacting MNTN this week:

• Positive Sentiment: Susquehanna lowered its price target from $20 to $12 but maintained a positive rating, signaling continued potential upside in the analyst’s view. Susquehanna price target article
• Neutral Sentiment: MNTN announced upcoming investor-conference meetings with its CEO and CFO, offering a chance to address investor concerns, but no new operating developments were disclosed. Investor conference announcement
• Negative Sentiment: Third-quarter results missed estimates: adjusted EPS was $0.10 and revenue was $80.25 million, below analysts’ $87.77 million forecast. MNTN also cut its revenue outlook, citing sales-execution challenges and disruption in its sales organization; it expects fourth-quarter revenue of $75 million to $78 million. Earnings and outlook coverage
• Negative Sentiment: Several law firms have announced investigations into whether MNTN or its executives adequately disclosed sales-force, customer-acquisition and growth issues. These are allegations under investigation, not findings of wrongdoing, but add uncertainty for investors. Robbins LLP investigation notice
• Negative Sentiment: Analyst sentiment also weakened: Evercore downgraded MNTN to “in-line,” while Raymond James and Citizens JMP cut their ratings to “market perform.” Raymond James downgrade

About MNTN

MNTN, Inc is an advertising technology company that provides software for planning, launching, measuring and optimizing connected television (CTV) advertising campaigns. Its platform is designed to help businesses use television advertising with the targeting, automation and performance measurement capabilities commonly associated with digital marketing.

The company's products support campaign creation, audience targeting, media buying and analytics across streaming television environments.

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