Marathon Digital (NASDAQ:MARA) Shares Down 1.3% - Should You Sell?

Key Points

• Marathon Digital's stock price decreased by 1.3% to $16.33, with trading volume significantly lower at 14,728,947 shares compared to the average volume of 42,624,500 shares.
• Analysts remain optimistic about the company, with price target adjustments ranging from $16.00 to $26.00, and an average rating of "Moderate Buy" from several research firms.
• The company's latest earnings report showed a loss of $0.40 per share, missing estimates, but revenue increased by 29.5% year-over-year, reaching $213.88 million.

Marathon Digital Holdings, Inc. (NASDAQ:MARA - Get Free Report) shares were down 1.3% during trading on Thursday . The stock traded as low as $16.07 and last traded at $16.33. Approximately 14,728,947 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 42,624,500 shares. The stock had previously closed at $16.55.

Analysts Set New Price Targets

Several research analysts recently commented on MARA shares. Rosenblatt Securities reiterated a "buy" rating and issued a $20.00 price target on shares of Marathon Digital in a research report on Wednesday. Cantor Fitzgerald lifted their price target on shares of Marathon Digital from $34.00 to $39.00 and gave the company an "overweight" rating in a research note on Monday. JPMorgan Chase & Co. raised shares of Marathon Digital from a "neutral" rating to an "overweight" rating and boosted their price objective for the stock from $19.00 to $22.00 in a research note on Monday. Macquarie upped their price target on Marathon Digital from $19.00 to $26.00 and gave the stock an "outperform" rating in a research report on Wednesday. Finally, Compass Point raised Marathon Digital from a "sell" rating to a "neutral" rating and upped their price target for the stock from $9.50 to $18.00 in a research report on Friday, July 25th. Four equities research analysts have rated the stock with a hold rating and six have given a buy rating to the stock. According to MarketBeat, Marathon Digital presently has a consensus rating of "Moderate Buy" and a consensus target price of $24.22.

Marathon Digital Price Performance

The firm has a 50-day simple moving average of $16.46 and a two-hundred day simple moving average of $15.36. The company has a market capitalization of $5.56 billion, a price-to-earnings ratio of 14.29 and a beta of 6.53. The company has a current ratio of 0.54, a quick ratio of 0.79 and a debt-to-equity ratio of 0.47.

Marathon Digital (NASDAQ:MARA - Get Free Report) last announced its quarterly earnings results on Thursday, May 8th. The business services provider reported ($0.40) earnings per share for the quarter, missing the consensus estimate of ($0.34) by ($0.06). The company had revenue of $213.88 million for the quarter, compared to analyst estimates of $234.19 million. Marathon Digital had a negative return on equity of 2.11% and a net margin of 85.02%. Marathon Digital's revenue for the quarter was up 29.5% on a year-over-year basis. During the same period in the prior year, the business posted $1.26 earnings per share. As a group, analysts predict that Marathon Digital Holdings, Inc. will post -1.04 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Marathon Digital news, Director Douglas K. Mellinger sold 3,000 shares of the stock in a transaction dated Friday, May 9th. The stock was sold at an average price of $16.00, for a total transaction of $48,000.00. Following the sale, the director directly owned 176,859 shares of the company's stock, valued at approximately $2,829,744. This trade represents a 1.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Salman Hassan Khan sold 34,732 shares of the stock in a transaction dated Tuesday, July 15th. The stock was 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 approximately $6,183,096.60. The trade was a 9.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 262,090 shares of company stock valued at $4,270,591. Company insiders own 0.80% of the company's stock.

Institutional Investors Weigh In On Marathon Digital

Hedge funds have recently modified their holdings of the company. Park Square Financial Group LLC purchased a new stake in shares of Marathon Digital during the 4th quarter worth about $27,000. Sterling Capital Management LLC boosted its stake in shares of Marathon Digital by 358.3% during the 4th quarter. Sterling Capital Management LLC now owns 1,824 shares of the business services provider's stock worth $31,000 after acquiring an additional 1,426 shares in the last quarter. Fifth Third Bancorp boosted its stake in shares of Marathon Digital by 59.9% during the 2nd quarter. Fifth Third Bancorp now owns 1,824 shares of the business services provider's stock worth $29,000 after acquiring an additional 683 shares in the last quarter. IFP Advisors Inc boosted its stake in shares of Marathon Digital by 375.4% during the 2nd quarter. IFP Advisors Inc now owns 2,534 shares of the business services provider's stock worth $40,000 after acquiring an additional 2,001 shares in the last quarter. Finally, Brown Brothers Harriman & Co. purchased a new stake in shares of Marathon Digital during the 4th quarter worth about $50,000. 44.53% of the stock is owned by hedge funds and other institutional investors.

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.