Royal Bank Of Canada Forecasts Strong Price Appreciation for Magnite (NASDAQ:MGNI) Stock

Key Points

• Royal Bank of Canada has raised its price target for Magnite (NASDAQ:MGNI) from $19.00 to $27.00, suggesting a potential upside of 17.05% from the stock's previous close.
• Magnite's stock currently holds an average rating of "Moderate Buy" from analysts, with a consensus target price of $21.91, and eleven analysts have a buy rating on the stock.
• The company reported an earnings per share (EPS) of $0.12 for the last quarter, exceeding expectations and reflecting a 4.3% year-over-year revenue growth.

Magnite (NASDAQ:MGNI - Get Free Report) had its price objective raised by equities research analysts at Royal Bank Of Canada from $19.00 to $27.00 in a research note issued to investors on Thursday,Benzinga reports. The brokerage presently has an "outperform" rating on the stock. Royal Bank Of Canada's target price would suggest a potential upside of 17.05% from the stock's previous close.

Other equities analysts have also issued research reports about the company. Craig Hallum set a $24.00 price objective on Magnite and gave the stock a "buy" rating in a research note on Tuesday, May 20th. Wall Street Zen raised Magnite from a "hold" rating to a "buy" rating in a research note on Sunday, July 13th. Lake Street Capital dropped their price target on Magnite from $21.00 to $19.00 and set a "buy" rating for the company in a research note on Thursday, May 8th. Rosenblatt Securities reissued a "buy" rating and set a $18.00 price target on shares of Magnite in a research note on Thursday, May 8th. Finally, Wells Fargo & Company increased their price target on Magnite from $13.00 to $24.00 and gave the company an "equal weight" rating in a research note on Tuesday, July 8th. One analyst has rated the stock with a hold rating and eleven have assigned a buy rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $21.91.

Magnite Stock Performance

NASDAQ:MGNI traded up $0.26 during mid-day trading on Thursday, hitting $23.07. 928,534 shares of the company traded hands, compared to its average volume of 2,666,717. The stock's fifty day moving average price is $20.46 and its 200-day moving average price is $16.49. Magnite has a one year low of $8.22 and a one year high of $25.27. The company has a quick ratio of 0.98, a current ratio of 0.98 and a debt-to-equity ratio of 0.47. The firm has a market cap of $3.26 billion, a price-to-earnings ratio of 115.37, a price-to-earnings-growth ratio of 1.83 and a beta of 2.96.

Magnite (NASDAQ:MGNI - Get Free Report) last released its quarterly earnings results on Wednesday, May 7th. The company reported $0.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.06 by $0.06. Magnite had a return on equity of 6.71% and a net margin of 4.58%. The business had revenue of $145.85 million during the quarter, compared to analyst estimates of $142.18 million. During the same quarter in the previous year, the company posted $0.05 earnings per share. Magnite's revenue for the quarter was up 4.3% on a year-over-year basis. Research analysts anticipate that Magnite will post 0.33 earnings per share for the current fiscal year.

Insider Transactions at Magnite

In related news, Director Paul Caine sold 5,000 shares of the stock in a transaction that occurred on Thursday, July 10th. The stock was sold at an average price of $23.53, for a total value of $117,650.00. Following the transaction, the director owned 183,603 shares of the company's stock, valued at $4,320,178.59. This represents a 2.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Adam Lee Soroca sold 42,584 shares of the stock in a transaction that occurred on Thursday, July 3rd. The stock was sold at an average price of $25.00, for a total value of $1,064,600.00. Following the completion of the transaction, the insider directly owned 366,672 shares in the company, valued at approximately $9,166,800. This trade represents a 10.41% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 959,227 shares of company stock valued at $18,854,021. Company insiders own 3.80% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. boosted its position in Magnite by 1.0% during the 1st quarter. Vanguard Group Inc. now owns 13,743,521 shares of the company's stock valued at $156,814,000 after acquiring an additional 138,417 shares in the last quarter. Capital Research Global Investors bought a new stake in Magnite during the 4th quarter valued at $122,986,000. Wellington Management Group LLP boosted its position in Magnite by 6.8% during the 4th quarter. Wellington Management Group LLP now owns 7,030,011 shares of the company's stock valued at $111,918,000 after acquiring an additional 450,341 shares in the last quarter. Dimensional Fund Advisors LP boosted its position in Magnite by 3.2% during the 4th quarter. Dimensional Fund Advisors LP now owns 5,524,643 shares of the company's stock valued at $87,957,000 after acquiring an additional 170,532 shares in the last quarter. Finally, Boston Partners boosted its position in Magnite by 10.9% during the 1st quarter. Boston Partners now owns 5,276,356 shares of the company's stock valued at $60,187,000 after acquiring an additional 520,033 shares in the last quarter. Institutional investors own 73.40% of the company's stock.

Magnite Company Profile

Magnite, Inc, together with its subsidiaries, operates an independent omni-channel sell-side advertising platform in the United States and internationally. The company's platform offers applications and services for sellers of digital advertising inventory or publishers that own and operate CTV channels, applications, websites, and other digital media properties to manage and monetize their inventory; and applications and services for buyers, including advertisers, agencies, agency trading desks, and demand side platforms to buy digital advertising inventory, as well as an independent marketplace that connects buyers and sellers.

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