Marathon Digital (NASDAQ:MARA) Announces Quarterly Earnings Results

Key Points

• Marathon Digital reported a quarterly loss of ($0.81) earnings per share, falling short of the consensus estimate of ($0.42) by ($0.39).
• The company's stock fell 3.2% during trading, and it currently has a market cap of $5.85 billion with a negative net margin of 46.68%.
• Equity analysts have mixed ratings, with a consensus price target of $24.56 and recent upgrades, indicating a potential for growth in the stock.

Marathon Digital (NASDAQ:MARA - Get Free Report) announced its quarterly earnings data on Tuesday. The business services provider reported ($0.81) earnings per share for the quarter, missing analysts' consensus estimates of ($0.42) by ($0.39), Zacks reports. Marathon Digital had a negative return on equity of 2.11% and a net margin of 85.02%. The business had revenue of $238.50 million during the quarter, compared to the consensus estimate of $212.25 million. During the same quarter in the previous year, the firm posted ($0.72) earnings per share. The company's revenue was up 64.0% compared to the same quarter last year.

Marathon Digital Stock Down 3.2%

Shares of NASDAQ:MARA traded down $0.52 during midday trading on Friday, reaching $15.56. The company's stock had a trading volume of 18,198,495 shares, compared to its average volume of 42,629,363. The firm has a 50 day moving average of $16.46 and a 200-day moving average of $15.36. The firm has a market capitalization of $5.48 billion, a P/E ratio of 14.08 and a beta of 6.53. The company has a quick ratio of 0.79, a current ratio of 0.54 and a debt-to-equity ratio of 0.47. Marathon Digital has a 12-month low of $9.81 and a 12-month high of $30.28.

Insider Transactions at Marathon Digital

In other news, Director Douglas K. Mellinger sold 3,000 shares of the company's stock in a transaction dated Friday, May 9th. The shares were sold at an average price of $16.00, for a total value of $48,000.00. Following the sale, the director directly owned 176,859 shares of the company's stock, valued at $2,829,744. This represents a 1.67% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Salman Hassan Khan sold 34,732 shares of the stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $19.05, for a total transaction of $661,644.60. Following the sale, the chief financial officer directly owned 324,572 shares in the company, valued at $6,183,096.60. This trade represents a 9.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 262,090 shares of company stock valued at $4,270,591 in the last three months. 0.80% of the stock is currently owned by company insiders.

Institutional Trading of Marathon Digital

Several institutional investors have recently bought and sold shares of MARA. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Marathon Digital by 11.0% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 643,311 shares of the business services provider's stock valued at $7,398,000 after purchasing an additional 63,903 shares during the last quarter. Envestnet Asset Management Inc. bought a new position in Marathon Digital during the 2nd quarter valued at about $183,000. NewEdge Advisors LLC lifted its stake in Marathon Digital by 65.3% during the 1st quarter. NewEdge Advisors LLC now owns 7,672 shares of the business services provider's stock valued at $88,000 after acquiring an additional 3,032 shares during the period. United Services Automobile Association lifted its stake in Marathon Digital by 8.2% during the 1st quarter. United Services Automobile Association now owns 20,634 shares of the business services provider's stock valued at $257,000 after acquiring an additional 1,569 shares during the period. Finally, Integrated Wealth Concepts LLC lifted its stake in Marathon Digital by 9.8% during the 1st quarter. Integrated Wealth Concepts LLC now owns 11,073 shares of the business services provider's stock valued at $127,000 after acquiring an additional 991 shares during the period. 44.53% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on MARA shares. Cantor Fitzgerald upped their price target on shares of Marathon Digital from $34.00 to $39.00 and gave the company an "overweight" rating in a report on Monday. Barclays boosted their price objective on shares of Marathon Digital from $14.00 to $16.00 and gave the company an "equal weight" rating in a research report on Monday, May 12th. Macquarie boosted their price objective on shares of Marathon Digital from $19.00 to $26.00 and gave the company an "outperform" rating in a research report on Wednesday. Rosenblatt Securities reissued a "buy" rating and set a $20.00 price objective on shares of Marathon Digital in a research report on Wednesday. Finally, JPMorgan Chase & Co. raised shares of Marathon Digital from a "neutral" rating to an "overweight" rating and boosted their price objective for the company from $19.00 to $22.00 in a research report on Monday. Four investment analysts have rated the stock with a hold rating and six have issued a buy rating to the company. Based on data from MarketBeat, Marathon Digital currently has a consensus rating of "Moderate Buy" and an average price target of $24.22.

About Marathon Digital

MARA Holdings, Inc operates as a digital asset technology company that mines digital assets with a focus on the bitcoin ecosystem in United States. The company was formerly known as Marathon Digital Holdings, Inc and changed its name to MARA Holdings, Inc in August 2024. MARA Holdings, Inc was incorporated in 2010 and is headquartered in Fort Lauderdale, Florida.