Shares of Marathon Digital Holdings, Inc. (NASDAQ: MARA) experienced a notable increase of 11.3% on Monday following an upgrade from Compass Point, which raised its rating from neutral to buy. This upgrade includes a new price target of $30.00 for the stock, reflecting strong investor optimism.
The stock traded as high as $11.28 during the day and closed slightly lower at $11.21. Trading volume reached approximately 52,955,055 shares, marking a 14% rise compared to the average session volume of 46,572,457 shares. Prior to the upgrade, the stock had closed at $10.07.
Several other equities research analysts have also recently provided insights on Marathon Digital. On September 5, BTIG Research reaffirmed a buy rating with a price target of $27.00. Weiss Ratings maintained a hold rating with a grade of C- on November 17. Furthermore, Macquarie raised its price target from $26.00 to $29.00 and designated the stock as outperform on October 22.
In contrast, JPMorgan Chase & Co. lowered its price objective from $22.00 to $20.00 while keeping an overweight rating. Cantor Fitzgerald also revised its price target from $30.00 to $21.00, maintaining an overweight rating as well. Overall, eight analysts currently rate the stock as a buy, while five have issued hold ratings. According to MarketBeat.com, the average rating for Marathon Digital is “Moderate Buy” with an average target price of $23.50.
Institutional Investment Activity
Recent activity among institutional investors has further influenced Marathon Digital’s stock dynamics. UBS Group AG increased its holdings in the company by an impressive 104.1% in the third quarter, now owning 12,098,686 shares valued at approximately $220,922,000 after acquiring an additional 6,172,110 shares. Marex Group plc and Voloridge Investment Management LLC also made significant investments, purchasing new stakes valued at around $84,301,000 and $93,066,000, respectively.
Additionally, Vanguard Group Inc. expanded its holdings by 9.8%, owning 45,311,718 shares worth around $827,392,000 after buying an extra 4,049,979 shares. Norges Bank also entered a new position in the company during the second quarter, valued at approximately $59,255,000. Institutional investors currently own 44.53% of Marathon Digital’s stock.
Company Performance and Outlook
Marathon Digital’s recent performance reflects a debt-to-equity ratio of 0.47, with a current ratio and quick ratio both at 0.54. The stock has a market capitalization of $4.24 billion, a price-to-earnings (P/E) ratio of 10.10, and a beta of 6.40.
In its latest earnings report announced on November 4, the company disclosed a loss of ($0.32) earnings per share, which fell short of analysts’ expectations of ($0.26) by ($0.06). Marathon Digital reported revenue of $252.41 million, slightly below the anticipated $254.58 million. The company’s net margin stood at 85.02%, coupled with a negative return on equity of 2.11%.
Looking ahead, analysts predict that Marathon Digital Holdings, Inc. will post an earnings per share of ($1.04) for the current fiscal year.
Established in 2010 and headquartered in Fort Lauderdale, Florida, Marathon Digital operates as a digital asset technology company focused on mining cryptocurrency, particularly within the bitcoin ecosystem. The firm was previously known as Marathon Digital Holdings, Inc. before changing its name to MARA Holdings, Inc. in August 2024.
