Marathon Digital (NASDAQ:MARA) Stock Price Down 5.7% - What's Next?

Key Points

• Marathon Digital shares fell 5.7% to about $11.16, with trading volume significantly below its average. The stock has a high beta of 5.40, reflecting substantial volatility.
• Analysts maintain a generally positive view, with a consensus rating of “Moderate Buy” and an average price target of $18.78, although targets range widely from $6 to $27.
• The company reported a significant quarterly loss, missing EPS and revenue estimates, while revenue declined 26.7% year over year. Insiders sold roughly 109,386 shares worth $1.33 million over the past three months.

Marathon Digital Holdings, Inc. (NASDAQ:MARA - Get Free Report)'s share price fell 5.7% on Wednesday . The stock traded as low as $11.10 and last traded at $11.1590. Approximately 13,582,720 shares changed hands during trading, a decline of 71% from the average daily volume of 46,196,309 shares. The stock had previously closed at $11.83.

Analyst Ratings Changes

A number of equities research analysts have weighed in on MARA shares. Piper Sandler cut their price objective on shares of Marathon Digital from $16.00 to $13.00 and set an "overweight" rating on the stock in a report on Friday, July 17th. Morgan Stanley boosted their target price on Marathon Digital from $5.50 to $6.00 and gave the stock an "underweight" rating in a research report on Thursday, August 13th. BTIG Research reissued a "buy" rating and set a $27.00 price target on shares of Marathon Digital in a report on Monday, June 1st. Citizens Jmp began coverage on shares of Marathon Digital in a research report on Wednesday, June 24th. They set a "market outperform" rating and a $24.00 target price for the company. Finally, Weiss Ratings raised Marathon Digital from a "sell (d-)" rating to a "sell (d)" rating in a research report on Friday. Eight investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $18.78.

Marathon Digital Stock Down 6.0%

The stock has a market capitalization of $4.29 billion, a P/E ratio of -1.21 and a beta of 5.40. The company has a fifty day moving average price of $11.92 and a 200-day moving average price of $11.04. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 1.15.

Marathon Digital (NASDAQ:MARA - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The business services provider reported ($1.60) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.17 by ($1.77). The firm had revenue of $174.88 million during the quarter, compared to the consensus estimate of $209.44 million. Marathon Digital had a negative return on equity of 26.05% and a negative net margin of 429.71%.The business's revenue was down 26.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.84 EPS. As a group, research analysts forecast that Marathon Digital Holdings, Inc. will post -1.24 EPS for the current fiscal year.

Insider Buying and Selling

In other Marathon Digital news, CEO Frederick G. Thiel sold 27,505 shares of the company's stock in a transaction that occurred on Wednesday, June 17th. The stock was sold at an average price of $14.25, for a total transaction of $391,946.25. Following the sale, the chief executive officer directly owned 4,562,009 shares in the company, valued at $65,008,628.25. This represents a 0.60% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Douglas K. Mellinger sold 7,000 shares of the business's stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $16.00, for a total value of $112,000.00. Following the transaction, the director directly owned 231,618 shares in the company, valued at approximately $3,705,888. This represents a 2.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 109,386 shares of company stock worth $1,332,889. Insiders own 0.97% of the company's stock.

Institutional Trading of Marathon Digital

Institutional investors and hedge funds have recently made changes to their positions in the business. Ascentis Independent Advisors bought a new stake in Marathon Digital during the 1st quarter valued at $28,000. Bogart Wealth LLC raised its holdings in shares of Marathon Digital by 4,345.1% in the first quarter. Bogart Wealth LLC now owns 4,045 shares of the business services provider's stock valued at $33,000 after acquiring an additional 3,954 shares in the last quarter. Eurizon Capital SGR S.p.A. bought a new position in Marathon Digital in the fourth quarter worth approximately $36,000. Hantz Financial Services Inc. lifted its holdings in Marathon Digital by 344.8% during the fourth quarter. Hantz Financial Services Inc. now owns 5,022 shares of the business services provider's stock worth $45,000 after buying an additional 3,893 shares during the period. Finally, CoreCap Advisors LLC boosted its position in Marathon Digital by 128.0% during the 2nd quarter. CoreCap Advisors LLC now owns 3,651 shares of the business services provider's stock valued at $51,000 after acquiring an additional 2,050 shares in the last quarter. 44.53% of the stock is currently owned by institutional investors.

Marathon Digital Company Profile

Marathon Digital Holdings, Inc is a digital asset technology company specializing in the mining and acquisition of bitcoin. Headquartered in Las Vegas, Nevada, the firm employs high-performance application-specific integrated circuit (ASIC) miners and proprietary software to secure the Bitcoin network and expand its crypto-mining footprint. Marathon Digital focuses on operational efficiency and scalability, while maintaining rigorous standards for regulatory compliance and corporate governance.

The company operates multiple large-scale mining facilities throughout North America, including sites in Texas, Montana and New York.

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