Marathon Digital (NASDAQ:MARA) Shares Down 3.4% After Insider Selling

Marathon Digital Holdings, Inc. (NASDAQ:MARA) shares traded down 3.4% during mid-day trading on Tuesday after an insider sold shares in the company. The stock traded as low as $11.02 and last traded at $11.23. 40,828,797 shares traded hands during trading, a decline of 13% from the average session volume of 47,128,289 shares. The stock had previously closed at $11.63.

Specifically, CFO Salman Hassan Khan sold 16,000 shares of the business’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $11.68, for a total value of $186,880.00. Following the sale, the chief financial officer directly owned 441,066 shares in the company, valued at approximately $5,151,650.88. The trade was a 3.50% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Zabi Nowaid sold 42,090 shares of the business’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $12.00, for a total transaction of $505,080.00. Following the completion of the sale, the general counsel owned 1,007,047 shares in the company, valued at approximately $12,084,564. This trade represents a 4.01% 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 related news, CEO Frederick G. Thiel sold 27,505 shares of the business’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $11.68, for a total value of $321,258.40. Following the sale, the chief executive officer directly owned 4,725,219 shares in the company, valued at approximately $55,190,557.92. The trade was a 0.58% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

Several analysts recently issued reports on the stock. Morgan Stanley assumed coverage on shares of Marathon Digital in a report on Monday, February 9th. They issued an “underweight” rating and a $8.00 price objective on the stock. HC Wainwright restated a “neutral” rating on shares of Marathon Digital in a report on Friday, February 27th. Cantor Fitzgerald reduced their price objective on shares of Marathon Digital from $11.00 to $10.00 and set an “overweight” rating on the stock in a report on Thursday, April 9th. Weiss Ratings downgraded Marathon Digital from a “hold (c-)” rating to a “sell (d)” rating in a research report on Friday, March 6th. Finally, Piper Sandler dropped their target price on Marathon Digital from $26.00 to $16.00 and set an “overweight” rating for the company in a research report on Wednesday, January 14th. Seven equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $19.90.

Marathon Digital Stock Performance

The company has a market capitalization of $4.49 billion, a price-to-earnings ratio of -2.98 and a beta of 5.29. The company has a debt-to-equity ratio of 0.92, a quick ratio of 1.27 and a current ratio of 1.27. The firm has a 50-day simple moving average of $9.05 and a two-hundred day simple moving average of $11.54.

Marathon Digital (NASDAQ:MARA) last released its earnings results on Thursday, February 26th. The business services provider reported ($4.52) earnings per share 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 business’s revenue was down 5.6% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.24 earnings per share. On average, sell-side analysts anticipate that Marathon Digital Holdings, Inc. will post -0.79 EPS for the current fiscal year.

Hedge Funds Weigh In On Marathon Digital

Several institutional investors have recently bought and sold shares of the company. Hollencrest Capital Management grew its position in shares of Marathon Digital by 2,407.4% during the third quarter. Hollencrest Capital Management now owns 1,354 shares of the business services provider’s stock worth $25,000 after buying an additional 1,300 shares in the last quarter. Bessemer Group Inc. grew its position in shares of Marathon Digital by 56.8% during the third quarter. Bessemer Group Inc. now owns 1,819 shares of the business services provider’s stock worth $33,000 after buying an additional 659 shares in the last quarter. Salomon & Ludwin LLC acquired a new position in shares of Marathon Digital during the third quarter worth about $47,000. Danske Bank A S acquired a new position in shares of Marathon Digital during the third quarter worth about $55,000. Finally, Eurizon Capital SGR S.p.A. acquired a new position in shares of Marathon Digital during the fourth quarter worth about $36,000. 44.53% of the stock is owned by institutional investors and hedge funds.

Marathon Digital Company Profile

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.