Investors Buy Large Volume of Call Options on Magnite (NASDAQ:MGNI)

Magnite, Inc. (NASDAQ:MGNI) saw unusually large options trading on Tuesday. Stock traders purchased 17,039 call options on the stock. This represents an increase of approximately 747% compared to the average daily volume of 2,012 call options.

Analyst Upgrades and Downgrades

MGNI has been the topic of a number of research analyst reports. Scotiabank raised their target price on Magnite from $16.00 to $17.00 and gave the company a “sector outperform” rating in a report on Thursday, May 7th. Rosenblatt Securities reiterated a “buy” rating and issued a $39.00 price objective on shares of Magnite in a research report on Thursday, February 26th. Royal Bank Of Canada reiterated an “outperform” rating on shares of Magnite in a research report on Thursday, May 28th. Benchmark reduced their price objective on Magnite from $31.00 to $30.00 and set a “buy” rating for the company in a research report on Thursday, February 26th. Finally, Weiss Ratings upgraded Magnite from a “hold (c-)” rating to a “hold (c)” rating in a research report on Monday, May 11th. Eight investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Magnite presently has a consensus rating of “Moderate Buy” and a consensus price target of $23.89.

Magnite Stock Performance

Shares of MGNI stock traded up $1.23 during mid-day trading on Tuesday, reaching $17.98. The stock had a trading volume of 3,074,065 shares, compared to its average volume of 2,432,333. The firm’s 50 day simple moving average is $13.59 and its 200 day simple moving average is $13.89. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 0.38. Magnite has a one year low of $10.82 and a one year high of $26.65. The firm has a market cap of $2.57 billion, a PE ratio of 17.43, a P/E/G ratio of 0.77 and a beta of 2.32.

Magnite (NASDAQ:MGNI) last announced its quarterly earnings data on Wednesday, May 6th. The company reported $0.13 EPS for the quarter, topping analysts’ consensus estimates of $0.11 by $0.02. Magnite had a return on equity of 8.40% and a net margin of 21.96%.The company had revenue of $164.37 million during the quarter, compared to the consensus estimate of $159.24 million. During the same quarter last year, the company earned $0.12 EPS. The company’s quarterly revenue was up 5.5% on a year-over-year basis. On average, analysts forecast that Magnite will post 0.6 EPS for the current year.

Insider Transactions at Magnite

In other news, Director Robert F. Spillane sold 10,000 shares of the company’s stock in a transaction dated Tuesday, May 19th. The stock was sold at an average price of $13.33, for a total transaction of $133,300.00. Following the completion of the sale, the director owned 43,917 shares in the company, valued at approximately $585,413.61. This represents a 18.55% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director David T. Pearson sold 10,766 shares of the firm’s stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $15.65, for a total value of $168,487.90. Following the completion of the sale, the director directly owned 79,001 shares in the company, valued at $1,236,365.65. This trade represents a 11.99% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 32,941 shares of company stock worth $492,272. 4.30% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Magnite

A number of hedge funds have recently modified their holdings of MGNI. Neo Ivy Capital Management acquired a new position in shares of Magnite in the 3rd quarter worth approximately $27,000. US Bancorp DE raised its holdings in shares of Magnite by 75.8% in the 3rd quarter. US Bancorp DE now owns 1,596 shares of the company’s stock worth $35,000 after buying an additional 688 shares in the last quarter. Central Pacific Bank Trust Division acquired a new position in shares of Magnite in the 4th quarter worth approximately $41,000. Strategic Advocates LLC acquired a new position in shares of Magnite in the 3rd quarter worth approximately $42,000. Finally, PNC Financial Services Group Inc. raised its holdings in shares of Magnite by 106.3% in the 1st quarter. PNC Financial Services Group Inc. now owns 3,783 shares of the company’s stock worth $45,000 after buying an additional 1,949 shares in the last quarter. 73.40% of the stock is owned by institutional investors and hedge funds.

Magnite Company Profile

Magnite, Inc (NASDAQ: MGNI) operates as an independent sell-side advertising platform that enables publishers and digital media owners to monetize their inventory through programmatic advertising. Formed in 2020 through the merger of Rubicon Project and Telaria, Magnite combines technologies for desktop, mobile, connected television (CTV) and digital out-of-home (DOOH) ad exchanges. The company provides an end-to-end solution designed to help media owners optimize yield across open marketplaces, private marketplaces and programmatic guaranteed deals.

At the core of Magnite’s offering is its supply-side platform (SSP), which connects publishers’ ad impressions to demand-side platforms (DSPs) through real-time bidding (RTB).