Shares of MarketWise, Inc. (NASDAQ:MKTW) experienced a modest increase of 0.3% during midday trading on Tuesday, reaching a high of $16.12 before closing at $16.09. The trading volume dropped to 10,896 shares, significantly lower than the average session volume of 15,701 shares. This uptick follows a previous closing price of $16.04.
Market analysts have been closely monitoring MarketWise, with mixed opinions emerging regarding its future performance. UBS Group recently reiterated an “outperform” rating on the stock, suggesting confidence in its growth potential. Conversely, Weiss Ratings assigned a “sell (d+)” rating in a report released on October 8, 2023. Currently, one analyst has issued a Buy rating, while another has opted for a Sell rating. According to data from MarketBeat, MarketWise has a consensus rating of “Hold” with an average target price of $20.00.
Recent Financial Performance
MarketWise released its quarterly earnings data on November 6, 2023, reporting earnings per share (EPS) of $0.58. This figure exceeded the consensus estimate of a loss of ($1.32) per share by $1.90. The company’s revenue for the quarter stood at $81.27 million, surpassing analysts’ expectations of $69.22 million. Despite this positive performance, MarketWise recorded a negative return on equity of 2.62% and a net margin of 1.70%.
Additionally, the company has announced a quarterly dividend of $0.20 per share, scheduled for payment on December 24, 2023. Shareholders on record as of November 14, 2023, will be eligible for this dividend, which translates to an annualized payout of $0.80 and a yield of 5.0%. The ex-dividend date is also set for November 14, 2023, with a current dividend payout ratio of 31.75%.
Institutional Investor Activity
Recent activity among institutional investors indicates a growing interest in MarketWise. Notably, Russell Investments Group Ltd. acquired a new stake in the company during the second quarter, valued at approximately $28,000. Raymond James Financial Inc. also established a new position worth about $226,000 during the same period. In the third quarter, Susquehanna International Group LLP and MTM Investment Management LLC bought stakes valued at around $191,000 and $359,000, respectively. Overall, institutional investors now hold 23.04% of MarketWise’s shares.
MarketWise operates a multi-brand platform designed for self-directed investors, providing financial research, software, education, and tools to navigate financial markets. The company offers various investment strategies, including value investing, income, growth, and options trading, among others.
As MarketWise continues to navigate a complex financial landscape, analysts and investors alike will be keenly observing its next moves and overall market performance.
