Marathon Digital (NASDAQ:MARA) Shares Gap Up – What’s Next?

Marathon Digital Holdings, Inc. (NASDAQ:MARA) shares gapped up prior to trading on Friday . The stock had previously closed at $8.45, but opened at $9.68. Marathon Digital shares last traded at $9.3120, with a volume of 43,736,585 shares traded.

Marathon Digital News Roundup

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

• Positive Sentiment: Strategic AI/data-center deal with Starwood: MARA announced a partnership to convert mining sites into AI-ready campuses (targeting ~1 GW near-term and larger buildouts), a catalyst investors view as a path to stable, non-Bitcoin revenue. This deal is the main driver behind the intraday rally. Read More. and Read More.
• Neutral Sentiment: Cantor Fitzgerald cut its price target from $21 to $11 but kept an “overweight” rating — signaling confidence in the long-term thesis while tempering near-term upside assumptions (they cite ~16.8% upside vs. current levels). Read More.
• Neutral Sentiment: Company materials and call resources released (earnings presentation and transcript) provide management commentary on strategy execution and the AI pivot; investors should read the slides/call to assess timing and confirmed tenants for data centers. Read More.
• Negative Sentiment: Large Q4 earnings miss and revenue shortfall: MARA reported a steep GAAP loss (driven largely by non‑cash fair-value adjustments on bitcoin holdings), EPS and revenue both missed estimates — a reminder that reported results can be volatile and mask operational cash generation. Read More. and Read More.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on MARA. HC Wainwright restated a “neutral” rating on shares of Marathon Digital in a report on Friday. Compass Point upgraded shares of Marathon Digital from a “neutral” rating to a “buy” rating and set a $30.00 target price on the stock in a research report on Monday, November 24th. Rosenblatt Securities cut their price target on shares of Marathon Digital from $25.00 to $22.00 and set a “buy” rating for the company in a research report on Wednesday, November 5th. Cantor Fitzgerald reduced their price objective on Marathon Digital from $21.00 to $11.00 and set an “overweight” rating on the stock in a research note on Friday. Finally, JPMorgan Chase & Co. lowered their target price on Marathon Digital from $20.00 to $13.00 and set an “overweight” rating for the company in a research note on Monday, November 24th. Seven analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Marathon Digital has a consensus rating of “Moderate Buy” and a consensus price target of $20.00.

Marathon Digital Stock Performance

The business’s fifty day simple moving average is $9.35 and its 200-day simple moving average is $13.54. The firm has a market cap of $3.45 billion, a P/E ratio of 5.05 and a beta of 5.56. The company has a current ratio of 2.09, a quick ratio of 2.09 and a debt-to-equity ratio of 0.63.

Marathon Digital (NASDAQ:MARA) last posted its earnings results on Thursday, February 26th. The business services provider reported ($4.52) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.23) by ($4.29). The firm had revenue of $202.31 million for the quarter, compared to analysts’ expectations of $250.74 million. Marathon Digital had a negative return on equity of 2.59% and a net margin of 100.82%.The business’s revenue for the quarter was down 5.6% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.24 earnings per share. As a group, sell-side analysts expect that Marathon Digital Holdings, Inc. will post -1.04 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Salman Hassan Khan sold 16,000 shares of the firm’s stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $7.66, for a total value of $122,560.00. Following the completion of the sale, the chief financial officer owned 359,165 shares of the company’s stock, valued at $2,751,203.90. This trade represents a 4.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Frederick G. Thiel sold 27,505 shares of the business’s stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $7.66, for a total transaction of $210,688.30. Following the transaction, the chief executive officer directly owned 3,381,861 shares in the company, valued at approximately $25,905,055.26. The trade was a 0.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 133,247 shares of company stock worth $1,325,255. Corporate insiders own 0.80% of the company’s stock.

Institutional Investors Weigh In On Marathon Digital

Large investors have recently modified their holdings of the stock. Alpine Global Management LLC raised its stake in Marathon Digital by 208,433.3% in the fourth quarter. Alpine Global Management LLC now owns 18,768 shares of the business services provider’s stock worth $169,000 after buying an additional 18,759 shares in the last quarter. Vident Advisory LLC grew its holdings in shares of Marathon Digital by 71.0% during the 4th quarter. Vident Advisory LLC now owns 1,693,604 shares of the business services provider’s stock worth $15,209,000 after acquiring an additional 703,262 shares during the period. Mackenzie Financial Corp raised its position in shares of Marathon Digital by 29.3% in the 4th quarter. Mackenzie Financial Corp now owns 45,045 shares of the business services provider’s stock worth $419,000 after acquiring an additional 10,194 shares in the last quarter. NewEdge Advisors LLC lifted its stake in shares of Marathon Digital by 19.6% in the 4th quarter. NewEdge Advisors LLC now owns 11,053 shares of the business services provider’s stock valued at $99,000 after purchasing an additional 1,811 shares during the period. Finally, XTX Topco Ltd boosted its position in shares of Marathon Digital by 156.2% during the fourth quarter. XTX Topco Ltd now owns 69,801 shares of the business services provider’s stock valued at $627,000 after purchasing an additional 42,551 shares in the last quarter. Institutional investors own 44.53% of the company’s stock.

About Marathon Digital

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.