MARA (NASDAQ:MARA) Stock Price Down 2% – Should You Sell?

Shares of MARA Holdings (NASDAQ:MARA) dropped 2% during mid-day trading on Monday. The stock traded as low as $7.31 and last traded at $7.38. Approximately 28,977,231 shares changed hands during mid-day trading, a decline of 36% from the average session volume of 45,494,590 shares. The stock had previously closed at $7.53.

Trending Headlines about MARA

Here are the key news stories impacting MARA this week:

• Positive Sentiment: MARA mined 2,422 Bitcoin in the second quarter, slightly more than a year earlier, demonstrating continued production capacity. The company is also seeking to diversify beyond Bitcoin mining, potentially reducing its long-term dependence on cryptocurrency prices. MARA Holdings mined more Bitcoin, but revenue fell 27%
• Neutral Sentiment: Blockchain analysts identified transfers of approximately 1,000 BTC, valued near $82.8 million, from wallets associated with MARA to Binance and Gate. Exchange deposits can precede a sale, but the transactions do not confirm that MARA has sold the Bitcoin. MARA-linked wallets send 1,000 Bitcoin to exchanges, but a sale is unconfirmed
• Negative Sentiment: Second-quarter revenue fell 27% year over year to $174.9 million despite slightly higher Bitcoin production, as the average value of mined coins was lower. The result missed expectations, while the company reported a large adjusted loss, highlighting pressure on profitability. MARA Holdings mined more Bitcoin, but revenue fell 27%
• Negative Sentiment: Bitcoin mining difficulty increased approximately 5.9% while Bitcoin prices weakened, creating a double headwind for miners. Higher computing requirements can reduce MARA’s Bitcoin output per unit of computing power and raise pressure to sell holdings or increase financing. Bitcoin mining just got harder while Bitcoin fell
• Negative Sentiment: Strive purchased 4,045 BTC and now holds 36,818 BTC, surpassing MARA as a major publicly traded corporate Bitcoin holder. The development may intensify competition for investor attention and contributed to scrutiny of MARA’s comparatively reduced Bitcoin-treasury position. Strive buys $335 million in Bitcoin

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on MARA shares. Weiss Ratings upgraded shares of MARA from a “sell (d-)” rating to a “sell (d)” rating in a report on Friday, August 21st. Citizens Jmp assumed coverage on MARA in a report on Wednesday, June 24th. They set a “market outperform” rating and a $24.00 target price on the stock. Morgan Stanley set a $10.00 price target on MARA and gave the stock an “underweight” rating in a research report on Friday, October 9th. HC Wainwright initiated coverage on MARA in a research report on Friday, September 11th. They issued a “buy” rating and a $20.00 price target for the company. Finally, Cantor Fitzgerald decreased their price target on MARA from $14.00 to $12.00 and set an “overweight” rating for the company in a research note on Friday, August 7th. Eight analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $19.10.

MARA Stock Down 2.0%

The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 1.15. The business has a 50-day simple moving average of $10.89 and a 200-day simple moving average of $11.79. The stock has a market cap of $2.85 billion, a P/E ratio of -0.81 and a beta of 5.33.

MARA (NASDAQ:MARA) last released its quarterly earnings results on Thursday, August 6th. The business services provider reported ($1.60) EPS for the quarter, missing analysts’ consensus estimates of $0.17 by ($1.77). MARA had a negative net margin of 429.71% and a negative return on equity of 26.05%. The firm had revenue of $174.88 million during the quarter, compared to the consensus estimate of $209.44 million. During the same period in the prior year, the business earned $1.84 EPS. The company’s revenue for the quarter was down 26.7% compared to the same quarter last year. Analysts expect that MARA Holdings will post -1.65 EPS for the current year.

Insider Buying and Selling

In related news, General Counsel Zabi Nowaid sold 8,376 shares of the firm’s stock in a transaction on Friday, August 21st. The shares were sold at an average price of $12.00, for a total value of $100,512.00. Following the transaction, the general counsel directly owned 898,780 shares in the company, valued at approximately $10,785,360. This trade represents a 0.92% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Salman Khan sold 16,000 shares of the firm’s stock in a transaction on Monday, August 17th. The shares were sold at an average price of $9.21, for a total transaction of $147,360.00. Following the completion of the transaction, the chief financial officer owned 377,066 shares in the company, valued at $3,472,777.86. The trade was a 4.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 106,891 shares of company stock valued at $1,124,731. Company insiders own 0.97% of the company’s stock.

Institutional Investors Weigh In On MARA

Several hedge funds and other institutional investors have recently made changes to their positions in MARA. Delta Global Management LP bought a new position in shares of MARA in the first quarter worth about $5,064,000. Hsbc Holdings PLC acquired a new position in shares of MARA during the 4th quarter worth about $5,220,000. Compass Rose Asset Management LP bought a new stake in MARA during the 1st quarter valued at approximately $4,243,000. Compass Financial Management LLC bought a new stake in MARA during the 2nd quarter valued at approximately $6,000,000. Finally, Edgestream Partners L.P. bought a new stake in MARA during the 1st quarter valued at approximately $2,864,000. 44.53% of the stock is owned by institutional investors and hedge funds.

MARA Company Profile

MARA Holdings, Inc (NASDAQ: MARA), formerly known as Marathon Digital Holdings, is a digital asset technology company focused primarily on mining bitcoin. The company operates specialized data centers containing application-specific integrated circuit (ASIC) computers that process transactions and secure the Bitcoin network in exchange for bitcoin rewards.

In addition to bitcoin mining, MARA develops and operates digital asset computing infrastructure. Its activities include managing energy and data-center resources, deploying mining hardware, and pursuing technologies designed to improve the efficiency and scalability of digital asset mining.