Magnite (NASDAQ:MGNI) Shares Gap Up – Still a Buy?

Magnite, Inc. (NASDAQ:MGNI) gapped up prior to trading on Wednesday . The stock had previously closed at $15.72, but opened at $16.31. Magnite shares last traded at $16.71, with a volume of 256,428 shares.

Analyst Upgrades and Downgrades

A number of analysts recently commented on MGNI shares. Wells Fargo & Company increased their price objective on Magnite from $13.00 to $15.00 and gave the company an “equal weight” rating in a research note on Thursday, January 16th. Royal Bank of Canada raised their price target on shares of Magnite from $19.00 to $22.00 and gave the stock an “outperform” rating in a research note on Friday, January 3rd. Needham & Company LLC reissued a “buy” rating and issued a $20.00 price objective on shares of Magnite in a research report on Friday, January 17th. Wolfe Research raised their target price on shares of Magnite from $14.00 to $19.00 and gave the stock an “outperform” rating in a research report on Friday, January 3rd. Finally, Macquarie reiterated an “outperform” rating and issued a $18.00 price target on shares of Magnite in a report on Friday, November 8th. One investment analyst has rated the stock with a hold rating and twelve have issued a buy rating to the company. According to data from MarketBeat.com, Magnite presently has a consensus rating of “Moderate Buy” and a consensus target price of $18.35.

Magnite Price Performance

The company has a market capitalization of $2.44 billion, a price-to-earnings ratio of 289.33, a price-to-earnings-growth ratio of 0.84 and a beta of 2.51. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.76. The company has a 50 day simple moving average of $16.42 and a 200 day simple moving average of $14.43.

Magnite (NASDAQ:MGNI) last posted its quarterly earnings results on Thursday, November 7th. The company reported $0.07 EPS for the quarter, missing the consensus estimate of $0.16 by ($0.09). The business had revenue of $162.00 million during the quarter, compared to analysts’ expectations of $147.94 million. Magnite had a net margin of 2.62% and a return on equity of 4.64%. During the same quarter in the previous year, the business posted $0.02 EPS. As a group, research analysts predict that Magnite, Inc. will post 0.33 EPS for the current year.

Insider Activity at Magnite

In related news, CTO David Buonasera sold 1,969 shares of the firm’s stock in a transaction dated Friday, December 13th. The stock was sold at an average price of $16.31, for a total transaction of $32,114.39. Following the sale, the chief technology officer now directly owns 223,795 shares in the company, valued at approximately $3,650,096.45. This trade represents a 0.87 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Michael G. Barrett sold 27,004 shares of the company’s stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $17.63, for a total value of $476,080.52. Following the completion of the transaction, the chief executive officer now owns 782,910 shares of the company’s stock, valued at approximately $13,802,703.30. This represents a 3.33 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 366,097 shares of company stock worth $6,165,147. 4.30% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. New Century Financial Group LLC purchased a new stake in Magnite during the 2nd quarter worth $640,000. Victory Capital Management Inc. grew its stake in shares of Magnite by 2.9% during the third quarter. Victory Capital Management Inc. now owns 1,340,705 shares of the company’s stock valued at $18,569,000 after acquiring an additional 37,601 shares in the last quarter. Merit Financial Group LLC purchased a new stake in shares of Magnite during the fourth quarter worth about $586,000. Driehaus Capital Management LLC purchased a new stake in shares of Magnite during the second quarter worth about $9,938,000. Finally, Principal Financial Group Inc. lifted its stake in shares of Magnite by 552.2% in the third quarter. Principal Financial Group Inc. now owns 107,515 shares of the company’s stock worth $1,489,000 after acquiring an additional 91,031 shares in the last quarter. 73.40% of the stock is owned by institutional investors and hedge funds.

About Magnite

Magnite, Inc, together with its subsidiaries, operates an independent omni-channel sell-side advertising platform in the United States and internationally. The company’s platform offers applications and services for sellers of digital advertising inventory or publishers that own and operate CTV channels, applications, websites, and other digital media properties to manage and monetize their inventory; and applications and services for buyers, including advertisers, agencies, agency trading desks, and demand side platforms to buy digital advertising inventory, as well as an independent marketplace that connects buyers and sellers.