Marathon Digital (NASDAQ:MARA) Shares Down 5.6% – Here’s Why

Marathon Digital Holdings, Inc. (NASDAQ:MARA) was down 5.6% during trading on Thursday . The company traded as low as $8.50 and last traded at $8.77. Approximately 49,360,963 shares were traded during mid-day trading, an increase of 4% from the average daily volume of 47,684,414 shares. The stock had previously closed at $9.29.

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on MARA shares. Piper Sandler lowered their price target on Marathon Digital from $26.00 to $16.00 and set an “overweight” rating for the company in a research note on Wednesday, January 14th. HC Wainwright restated a “neutral” rating on shares of Marathon Digital in a report on Friday, February 27th. JPMorgan Chase & Co. reduced their price target on Marathon Digital from $20.00 to $13.00 and set an “overweight” rating for the company in a research report on Monday, November 24th. Weiss Ratings raised Marathon Digital from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, February 20th. Finally, Morgan Stanley initiated coverage on shares of Marathon Digital in a research note on Monday, February 9th. They issued an “underweight” rating and a $8.00 price objective for the company. Seven analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $20.00.

Marathon Digital Trading Down 5.6%

The stock has a market capitalization of $3.33 billion, a P/E ratio of -2.21 and a beta of 5.51. The business’s fifty day simple moving average is $9.28 and its two-hundred day simple moving average is $13.34. The company has a current ratio of 1.27, a quick ratio of 2.09 and a debt-to-equity ratio of 0.92.

Marathon Digital (NASDAQ:MARA) last posted its quarterly earnings results on Thursday, February 26th. The business services provider reported ($4.52) EPS for the quarter, missing the consensus estimate of ($0.23) by ($4.29). The firm had revenue of $202.31 million during the quarter, compared to analyst estimates of $250.74 million. Marathon Digital had a negative net margin of 144.58% and a negative return on equity of 19.01%. The company’s revenue was down 5.6% on a year-over-year basis. During the same period last year, the company earned $1.24 EPS. As a group, analysts forecast that Marathon Digital Holdings, Inc. will post -1.04 earnings per share for the current year.

Insider Buying and Selling at Marathon Digital

In other news, CFO Salman Hassan Khan sold 16,000 shares of the stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $7.66, for a total value of $122,560.00. Following the completion of the transaction, the chief financial officer owned 359,165 shares in the company, valued at approximately $2,751,203.90. This represents a 4.26% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Frederick G. Thiel sold 27,505 shares of Marathon Digital stock in a transaction dated Tuesday, February 17th. The shares were sold at an average price of $7.66, for a total transaction of $210,688.30. Following the sale, the chief executive officer owned 3,381,861 shares in the company, valued at approximately $25,905,055.26. This trade represents a 0.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 133,247 shares of company stock worth $1,325,255 in the last three months. Insiders own 0.80% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Integrated Wealth Concepts LLC boosted its stake in shares of Marathon Digital by 9.8% in the 1st quarter. Integrated Wealth Concepts LLC now owns 11,073 shares of the business services provider’s stock valued at $127,000 after purchasing an additional 991 shares in the last quarter. NewEdge Advisors LLC increased its holdings in shares of Marathon Digital by 65.3% during the first quarter. NewEdge Advisors LLC now owns 7,672 shares of the business services provider’s stock worth $88,000 after buying an additional 3,032 shares in the last quarter. United Services Automobile Association raised its stake in shares of Marathon Digital by 8.2% in the first quarter. United Services Automobile Association now owns 20,634 shares of the business services provider’s stock valued at $257,000 after acquiring an additional 1,569 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in shares of Marathon Digital by 11.0% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 643,311 shares of the business services provider’s stock worth $7,398,000 after acquiring an additional 63,903 shares in the last quarter. Finally, AlphaQuest LLC grew its position in Marathon Digital by 16.9% during the 2nd quarter. AlphaQuest LLC now owns 8,913 shares of the business services provider’s stock worth $140,000 after acquiring an additional 1,289 shares during the last quarter. 44.53% of the stock is currently owned by institutional investors and hedge funds.

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.