Magnite (NASDAQ:MGNI) Stock Price Down 8.2% - Time to Sell?

Key Points

• Magnite's stock (NASDAQ:MGNI) fell by 8.2% to close at $22.34, with the trading volume significantly down by 75% from its average.
• Wall Street analysts have mixed views on Magnite, with price targets ranging from $19.00 to $30.00, and a consensus rating of "Moderate Buy".
• Insider trading activity includes a significant sale by CEO Michael G. Barrett, who sold 70,900 shares, indicating a 19.88% decrease in his position.

Shares of Magnite, Inc. (NASDAQ:MGNI - Get Free Report) fell 8.2% during trading on Tuesday . The stock traded as low as $22.35 and last traded at $22.34. 676,103 shares were traded during mid-day trading, a decline of 75% from the average session volume of 2,694,652 shares. The stock had previously closed at $24.32.

Analyst Ratings Changes

A number of research firms have commented on MGNI. Needham & Company LLC boosted their price objective on Magnite from $18.00 to $25.00 and gave the stock a "buy" rating in a research note on Thursday, August 7th. Royal Bank Of Canada boosted their price objective on Magnite from $19.00 to $27.00 and gave the stock an "outperform" rating in a research note on Thursday, July 31st. Scotiabank reissued an "outperform" rating and issued a $30.00 price objective (up previously from $22.00) on shares of Magnite in a research note on Thursday, August 7th. Lake Street Capital reduced their price objective on Magnite from $21.00 to $19.00 and set a "buy" rating on the stock in a research note on Thursday, May 8th. Finally, Wells Fargo & Company boosted their price objective on Magnite from $13.00 to $24.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 8th. Ten analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $25.82.

Magnite Stock Up 7.3%

The company has a debt-to-equity ratio of 0.45, a current ratio of 1.00 and a quick ratio of 1.00. The firm has a market cap of $3.44 billion, a price-to-earnings ratio of 83.31, a price-to-earnings-growth ratio of 1.66 and a beta of 3.05. The firm has a 50 day moving average price of $22.50 and a 200-day moving average price of $17.21.

Magnite (NASDAQ:MGNI - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $0.20 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.17 by $0.03. Magnite had a return on equity of 8.07% and a net margin of 6.30%.The business had revenue of $162.00 million for the quarter, compared to analyst estimates of $157.05 million. During the same quarter in the prior year, the firm posted $0.14 earnings per share. The firm's revenue for the quarter was up 6.4% compared to the same quarter last year. As a group, equities analysts predict that Magnite, Inc. will post 0.33 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CAO Brian Gephart sold 2,961 shares of the company's stock in a transaction dated Monday, August 18th. The stock was sold at an average price of $23.85, for a total value of $70,619.85. Following the completion of the sale, the chief accounting officer owned 120,569 shares in the company, valued at approximately $2,875,570.65. This represents a 2.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider Katie Seitz Evans sold 10,487 shares of the company's stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $23.85, for a total value of $250,114.95. Following the completion of the sale, the insider owned 423,943 shares of the company's stock, valued at $10,111,040.55. This represents a 2.41% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 1,070,563 shares of company stock valued at $21,771,456 in the last ninety days. 3.80% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Magnite

Several large investors have recently modified their holdings of the business. Marex Group plc bought a new stake in shares of Magnite in the second quarter worth about $227,000. Castleark Management LLC bought a new position in shares of Magnite during the second quarter worth about $3,453,000. CANADA LIFE ASSURANCE Co grew its holdings in shares of Magnite by 12.7% during the second quarter. CANADA LIFE ASSURANCE Co now owns 43,505 shares of the company's stock worth $1,051,000 after buying an additional 4,901 shares in the last quarter. Tower Research Capital LLC TRC grew its holdings in shares of Magnite by 382.5% during the second quarter. Tower Research Capital LLC TRC now owns 15,065 shares of the company's stock worth $363,000 after buying an additional 11,943 shares in the last quarter. Finally, Cannell Capital LLC bought a new position in shares of Magnite during the second quarter worth about $3,053,000. 73.40% of the stock is currently owned by institutional investors.

Magnite Company Profile

Magnite, Inc, together with its subsidiaries, operates an independent omni-channel sell-side advertising platform in the United States and internationally. The company's platform offers applications and services for sellers of digital advertising inventory or publishers that own and operate CTV channels, applications, websites, and other digital media properties to manage and monetize their inventory; and applications and services for buyers, including advertisers, agencies, agency trading desks, and demand side platforms to buy digital advertising inventory, as well as an independent marketplace that connects buyers and sellers.