Marathon Digital (NASDAQ:MARA) Stock Price Down 3.5% - Here's Why

Key Points

• Marathon Digital's stock price fell 3.5% to $15.48 during mid-day trading, with a significant decline in trading volume of 74% compared to the average session.
• Several analysts have given Marathon Digital a Moderate Buy rating, with the average price target set at $24.22, indicating potential for recovery despite the recent decline.
• In its latest earnings report, Marathon Digital reported $1.84 earnings per share, significantly exceeding expectations, alongside a year-over-year revenue increase of 64.0%.

Marathon Digital Holdings, Inc. (NASDAQ:MARA - Get Free Report) shares fell 3.5% during mid-day trading on Tuesday . The stock traded as low as $15.40 and last traded at $15.48. 11,117,840 shares were traded during mid-day trading, a decline of 74% from the average session volume of 42,486,094 shares. The stock had previously closed at $16.04.

Analyst Upgrades and Downgrades

Several brokerages have weighed in on MARA. HC Wainwright reissued a "buy" rating and issued a $28.00 price target on shares of Marathon Digital in a report on Thursday, April 24th. Macquarie boosted their price objective on Marathon Digital from $19.00 to $26.00 and gave the company an "outperform" rating in a research report on Wednesday, July 30th. Rosenblatt Securities reiterated a "buy" rating and set a $20.00 price target on shares of Marathon Digital in a research report on Wednesday, July 30th. Barclays boosted their price objective on Marathon Digital from $14.00 to $16.00 and gave the stock an "equal weight" rating in a research note on Monday, May 12th. Finally, JPMorgan Chase & Co. raised Marathon Digital from a "neutral" rating to an "overweight" rating and increased their target price for the stock from $19.00 to $22.00 in a research note on Monday, July 28th. Four investment analysts have rated the stock with a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $24.22.

Marathon Digital Trading Down 3.3%

The stock has a market capitalization of $5.74 billion, a price-to-earnings ratio of 13.97 and a beta of 6.24. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.54 and a current ratio of 0.54. The business has a 50-day moving average of $16.50 and a 200-day moving average of $15.28.

Marathon Digital (NASDAQ:MARA - Get Free Report) last announced its earnings results on Tuesday, July 29th. The business services provider reported $1.84 earnings per share for the quarter, beating the consensus estimate of ($0.29) by $2.13. The company had revenue of $238.50 million for the quarter, compared to the consensus estimate of $212.25 million. Marathon Digital had a negative return on equity of 2.11% and a net margin of 85.02%. The company's revenue was up 64.0% on a year-over-year basis. During the same period last year, the business posted ($0.72) EPS. As a group, research analysts forecast that Marathon Digital Holdings, Inc. will post -1.04 EPS for the current year.

Insiders Place Their Bets

In related news, Director Douglas K. Mellinger sold 3,000 shares of the business's stock in a transaction dated Friday, May 9th. The stock was sold at an average price of $16.00, for a total value of $48,000.00. Following the transaction, the director owned 176,859 shares in the company, valued at approximately $2,829,744. The trade was a 1.67% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Salman Hassan Khan sold 34,733 shares of the company's stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $15.85, for a total value of $550,518.05. Following the sale, the chief financial officer owned 1,413,298 shares in the company, valued at $22,400,773.30. The trade was a 2.40% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 262,090 shares of company stock valued at $4,270,591. Corporate insiders own 0.80% of the company's stock.

Hedge Funds Weigh In On Marathon Digital

Several institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. grew its holdings in Marathon Digital by 2.7% in the 1st quarter. Vanguard Group Inc. now owns 39,811,453 shares of the business services provider's stock worth $457,832,000 after buying an additional 1,028,512 shares in the last quarter. Geode Capital Management LLC grew its holdings in Marathon Digital by 7.2% in the 4th quarter. Geode Capital Management LLC now owns 7,675,994 shares of the business services provider's stock worth $128,755,000 after buying an additional 518,503 shares in the last quarter. American Century Companies Inc. grew its holdings in Marathon Digital by 55.7% in the 1st quarter. American Century Companies Inc. now owns 6,289,953 shares of the business services provider's stock worth $72,334,000 after buying an additional 2,250,082 shares in the last quarter. Northern Trust Corp grew its holdings in Marathon Digital by 7.2% in the 1st quarter. Northern Trust Corp now owns 3,529,782 shares of the business services provider's stock worth $40,592,000 after buying an additional 236,251 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. grew its holdings in Marathon Digital by 9.7% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 3,322,618 shares of the business services provider's stock worth $38,210,000 after buying an additional 294,161 shares in the last quarter. 44.53% of the stock is owned by institutional investors.

Marathon Digital Company Profile

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.

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