Marqeta (NASDAQ:MQ) Stock Price Up 3.9% - Here's Why

Key Points

• Shares rose 3.9% to about $4.09 on Friday amid lighter volume, and Director Judson C. Linville bought 25,570 shares at $3.93 (a ~32.5% increase in his stake); insiders now own 12.61% of the company.
• Analysts have trimmed ratings and targets—multiple downgrades and cuts from firms including Morgan Stanley, Mizuho and UBS have left a consensus rating of "Reduce" and a target price of $5.14.
• Marqeta beat estimates with $0.00 EPS (vs. -$0.01) and revenue of $172.11M (up 26.7% YoY), but the company still shows a negative net margin (-2.23%).

Marqeta, Inc. (NASDAQ:MQ - Get Free Report)'s share price traded up 3.9% on Friday . The company traded as high as $4.09 and last traded at $4.0850. 1,752,407 shares changed hands during mid-day trading, a decline of 56% from the average session volume of 3,955,654 shares. The stock had previously closed at $3.93.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Weiss Ratings reiterated a "sell (d)" rating on shares of Marqeta in a report on Monday, December 29th. Morgan Stanley cut their price objective on Marqeta from $6.00 to $5.00 and set an "equal weight" rating on the stock in a report on Wednesday, February 25th. Wolfe Research lowered Marqeta from an "outperform" rating to a "peer perform" rating in a research report on Thursday, January 8th. Mizuho reaffirmed a "neutral" rating and issued a $4.50 target price (down from $8.00) on shares of Marqeta in a report on Thursday, January 8th. Finally, UBS Group dropped their target price on Marqeta from $5.00 to $4.25 and set a "neutral" rating for the company in a research report on Wednesday, February 25th. One equities research analyst has rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Reduce" and a consensus target price of $5.14.

Marqeta Trading Up 3.9%

The company's 50-day simple moving average is $4.17 and its 200-day simple moving average is $4.74. The stock has a market capitalization of $1.75 billion, a price-to-earnings ratio of -136.17 and a beta of 1.48.

Marqeta (NASDAQ:MQ - Get Free Report) last issued its quarterly earnings results on Tuesday, February 24th. The company reported $0.00 EPS for the quarter, topping analysts' consensus estimates of ($0.01) by $0.01. The company had revenue of $172.11 million for the quarter, compared to analyst estimates of $167.05 million. Marqeta had a negative net margin of 2.23% and a negative return on equity of 1.62%. Marqeta's revenue was up 26.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.05) earnings per share. On average, equities research analysts expect that Marqeta, Inc. will post 0.06 earnings per share for the current fiscal year.

Insider Activity at Marqeta

In related news, Director Judson C. Linville purchased 25,570 shares of the firm's stock in a transaction dated Friday, February 27th. The stock was bought at an average price of $3.93 per share, with a total value of $100,490.10. Following the completion of the purchase, the director owned 104,220 shares in the company, valued at approximately $409,584.60. This represents a 32.51% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 12.61% of the company's stock.

Institutional Trading of Marqeta

Institutional investors have recently added to or reduced their stakes in the stock. Quarry LP acquired a new stake in Marqeta during the 3rd quarter valued at approximately $26,000. EFG International AG acquired a new position in shares of Marqeta in the 4th quarter worth approximately $27,000. CWM LLC lifted its position in shares of Marqeta by 82.2% in the 4th quarter. CWM LLC now owns 6,254 shares of the company's stock worth $30,000 after purchasing an additional 2,821 shares during the period. Leonteq Securities AG bought a new stake in shares of Marqeta in the 4th quarter valued at $33,000. Finally, Amundi acquired a new stake in shares of Marqeta during the fourth quarter worth $48,000. 78.64% of the stock is currently owned by institutional investors.

Marqeta Company Profile

Marqeta is a modern card issuing and payment processing platform that enables businesses to design, launch and manage customized payment cards. The company offers a fully programmable open API that allows clients to create virtual, physical and tokenized payment cards with real-time transaction controls and dynamic spend limits. By leveraging Marqeta's infrastructure, companies can streamline their payment operations, reduce time to market and deliver tailored payment experiences to end consumers.

Founded in 2010 and headquartered in Oakland, California, Marqeta was established by CEO Jason Gardner with the goal of transforming traditional card issuance through cloud-native technology.

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