Traders Purchase Large Volume of Call Options on Marathon Digital (NASDAQ:MARA)

Key Points

• Call-option activity increased: Traders purchased 250,143 MARA call options, about 14% above the stock’s average daily call volume, signaling heightened options-market interest.
• Analyst sentiment remains mixed but leans positive: Marathon Digital has a consensus “Moderate Buy” rating and an $18.72 price target, although targets range widely from $5.50 to $27.00.
• Shares fell 4.9% to $10.12: The stock remains highly volatile, with a beta of 5.40, while insiders have sold approximately 109,260 shares worth $1.45 million over the past 90 days.

Marathon Digital Holdings, Inc. (NASDAQ:MARA - Get Free Report) saw unusually large options trading on Friday. Stock traders acquired 250,143 call options on the stock. This is an increase of approximately 14% compared to the average daily volume of 219,762 call options.

Wall Street Analysts Forecast Growth

MARA has been the subject of several analyst reports. Morgan Stanley dropped their target price on Marathon Digital from $7.00 to $5.50 and set an "underweight" rating for the company in a research note on Wednesday, July 8th. Rosenblatt Securities reiterated a "buy" rating and set a $15.00 price objective on shares of Marathon Digital in a report on Friday. Piper Sandler decreased their target price on shares of Marathon Digital from $16.00 to $13.00 and set an "overweight" rating on the stock in a research report on Friday, July 17th. BTIG Research restated a "buy" rating and issued a $27.00 target price on shares of Marathon Digital in a report on Monday, June 1st. Finally, Citizens Jmp initiated coverage on shares of Marathon Digital in a research report on Wednesday, June 24th. They set a "market outperform" rating and a $24.00 price target for the company. 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. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $18.72.

Marathon Digital Stock Down 4.9%

NASDAQ MARA traded down $0.53 during trading hours on Friday, hitting $10.12. The company had a trading volume of 35,443,502 shares, compared to its average volume of 45,636,523. The firm's 50 day moving average is $12.90 and its 200 day moving average is $11.03. The company has a debt-to-equity ratio of 0.99, a current ratio of 1.84 and a quick ratio of 1.84. Marathon Digital has a fifty-two week low of $6.66 and a fifty-two week high of $23.45. The company has a market capitalization of $3.86 billion, a price-to-earnings ratio of -1.77 and a beta of 5.40.

Insider Buying and Selling

In related news, CEO Frederick G. Thiel sold 27,505 shares of the business's stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $14.25, for a total value of $391,946.25. Following the completion of the transaction, the chief executive officer owned 4,562,009 shares of the company's stock, valued at approximately $65,008,628.25. The trade was a 0.60% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Douglas K. Mellinger sold 7,000 shares of the firm's stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $16.00, for a total transaction of $112,000.00. Following the sale, the director directly owned 231,618 shares in the company, valued at $3,705,888. This represents a 2.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 109,260 shares of company stock valued at $1,452,756. 0.97% of the stock is owned by insiders.

Hedge Funds Weigh In On Marathon Digital

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Hennion & Walsh Asset Management Inc. grew its position in Marathon Digital by 24.4% in the second quarter. Hennion & Walsh Asset Management Inc. now owns 50,275 shares of the business services provider's stock valued at $698,000 after acquiring an additional 9,873 shares in the last quarter. GAMMA Investing LLC boosted its stake in shares of Marathon Digital by 20.0% in the second quarter. GAMMA Investing LLC now owns 25,506 shares of the business services provider's stock valued at $354,000 after purchasing an additional 4,246 shares during the period. Moody National Bank Trust Division acquired a new stake in Marathon Digital during the 2nd quarter valued at $1,858,000. CoreCap Advisors LLC increased its stake 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 worth $51,000 after buying an additional 2,050 shares during the period. Finally, Versant Capital Management Inc increased its stake in Marathon Digital by 257.3% during the 2nd quarter. Versant Capital Management Inc now owns 4,966 shares of the business services provider's stock worth $69,000 after buying an additional 3,576 shares during the period. 44.53% of the stock is owned by institutional investors and hedge funds.

Marathon Digital News Summary

Here are the key news stories impacting Marathon Digital this week:

• Positive Sentiment: Rosenblatt Securities reaffirmed its Buy rating and set a $15 price target, implying substantial upside from recent trading levels. Benzinga analyst ratings report
• Positive Sentiment: Cantor Fitzgerald maintained an Overweight rating and a $12 price target. Although the target was reduced from $14, it remains above the current market price and suggests analysts see potential recovery. Benzinga analyst ratings report
• Positive Sentiment: Management is expanding beyond Bitcoin mining by increasing power capacity to approximately 4.8 gigawatts and developing AI data-center infrastructure. The strategy could diversify revenue and improve long-term asset utilization if demand for AI computing remains strong. MARA Q2 highlights

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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