Last Updated: 14 Nov 2024
Executive Summary
Magnite Inc. (MGNI) is a leading independent sales advertising platform with a market capitalization of $2.36 billion. The company has experienced strong revenue growth in recent quarters, driven by increased digital advertising spending. However, the company is still unprofitable, and its earnings per share (EPS) are negative. Analysts expect the company to become profitable in the future, and they have set a target price of $17.46 for the stock.
Company Overview
Magnite Inc. was founded in 2009 and is headquartered in Los Angeles, California. The company provides a platform that connects advertisers with publishers, allowing them to buy and sell digital advertising space. Magnite's platform is used by a wide range of companies, including major brands, agencies, and publishers.
Fundamental Analysis
Magnite's financial performance has been mixed in recent quarters. The company's revenue has grown steadily, but its earnings have been negative. In the most recent quarter, Magnite reported revenue of $661.1 million and a net loss of $16.5 million. The company's gross profit margin was 40.8%, and its operating margin was 9.3%.
Magnite's balance sheet is strong. The company has $329.2 million in cash and equivalents and no debt. The company's book value is $5.14 per share.
Technical Analysis
Magnite's stock price has been trending higher in recent months. The stock is currently trading at $16.8, which is above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 60.1, which indicates that the stock is overbought.
Short Term Outlook
Magnite's stock price is likely to continue to trend higher in the short term. The company is benefiting from the strong growth in digital advertising spending. However, the stock is overbought, and it could be due for a pullback.
Long Term Outlook
Magnite is a well-positioned company in the growing digital advertising market. The company's platform is used by a wide range of companies, and it is likely to continue to grow in the future. Analysts expect Magnite to become profitable in the future, and they have set a target price of $17.46 for the stock.
Analyst Recommendations
The majority of analysts have a buy rating on Magnite's stock. Two analysts have a strong buy rating, nine have a buy rating, and one has a hold rating. No analysts have a sell or strong sell rating on the stock.
