Magnite (NASDAQ:MGNI) Hits New 1-Year High Following Strong Earnings

Magnite, Inc. (NASDAQ:MGNI) shares reached a new 52-week high during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $27.76 and last traded at $26.9290, with a volume of 1,280,081 shares trading hands. The stock had previously closed at $22.79.

The company reported $0.33 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.04. The firm had revenue of $204.20 million during the quarter, compared to analyst estimates of $190.19 million. Magnite had a net margin of 22.49% and a return on equity of 9.33%. The company’s revenue was up 22.4% compared to the same quarter last year. During the same quarter last year, the business earned $0.20 EPS.

Key Headlines Impacting Magnite

Here are the key news stories impacting Magnite this week:

• Positive Sentiment: Q3 non-GAAP EPS was $0.33, above analyst estimates, while revenue of $204.2 million rose 14% year over year. Contribution ex-TAC, a key measure of Magnite’s underlying business, grew 20% to $200.6 million and exceeded the company’s guidance range. Magnite Q3 results
• Positive Sentiment: CTV was the standout: contribution ex-TAC from CTV climbed 39% to $105.4 million, also beating guidance. Adjusted EBITDA rose 46% to $83.4 million, with the margin expanding to 42% from 34% a year earlier. Magnite Q3 results
• Positive Sentiment: Management raised its 2026 outlook: contribution ex-TAC growth is now expected to be about 17%, adjusted EBITDA growth about 30%, EBITDA margin about 38.5%, and free-cash-flow growth above 60%. Q4 contribution ex-TAC guidance is $227 million to $233 million. Magnite raises 2026 outlook
• Positive Sentiment: The company expects 2027 top-line growth to accelerate, forecasting growth above 15% excluding political advertising and a 2027 adjusted EBITDA margin of at least 38.5%. Management cited CTV momentum and a political-advertising boom as growth drivers. Q3 earnings call highlights

Wall Street Analysts Forecast Growth

Several research firms recently commented on MGNI. Scotiabank reiterated a “sector outperform” rating on shares of Magnite in a research note on Thursday. Needham & Company LLC lifted their price objective on shares of Magnite from $25.00 to $30.00 and gave the stock a “buy” rating in a report on Thursday, September 3rd. Susquehanna upped their target price on shares of Magnite from $30.00 to $35.00 and gave the stock a “positive” rating in a research report on Thursday. BTIG Research reissued a “buy” rating and issued a $27.00 target price on shares of Magnite in a research note on Wednesday, September 9th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $40.00 price target on shares of Magnite in a research note on Friday, October 2nd. Eleven investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, Magnite presently has an average rating of “Moderate Buy” and an average price target of $29.82.

Insider Activity

In other news, insider Aaron Saltz sold 40,000 shares of the business’s stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $23.41, for a total value of $936,400.00. Following the completion of the sale, the insider directly owned 224,389 shares in the company, valued at approximately $5,252,946.49. The trade was a 15.13% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Katie Evans sold 32,285 shares of the company’s stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $23.63, for a total transaction of $762,894.55. Following the completion of the sale, the insider directly owned 466,897 shares of the company’s stock, valued at $11,032,776.11. This trade represents a 6.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 254,126 shares of company stock valued at $6,161,335. Insiders own 3.20% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. AEGON ASSET MANAGEMENT UK Plc bought a new position in Magnite in the 3rd quarter worth $2,669,000. Covestor Ltd lifted its holdings in Magnite by 562.1% in the third quarter. Covestor Ltd now owns 1,066 shares of the company’s stock worth $26,000 after buying an additional 905 shares during the period. State of Wyoming lifted its holdings in Magnite by 39.6% in the third quarter. State of Wyoming now owns 31,095 shares of the company’s stock worth $785,000 after buying an additional 8,822 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new stake in Magnite in the third quarter worth about $240,000. Finally, Pinnacle Wealth Planning Services Inc. boosted its position in Magnite by 643.0% during the 3rd quarter. Pinnacle Wealth Planning Services Inc. now owns 10,967 shares of the company’s stock valued at $277,000 after acquiring an additional 9,491 shares in the last quarter. 73.40% of the stock is owned by hedge funds and other institutional investors.

Magnite Price Performance

The business has a fifty day simple moving average of $23.90 and a two-hundred day simple moving average of $17.72. The company has a current ratio of 1.02, a quick ratio of 1.03 and a debt-to-equity ratio of 0.37. The stock has a market cap of $3.83 billion, a PE ratio of 24.52, a P/E/G ratio of 0.73 and a beta of 2.44.

About Magnite

Magnite, Inc operates an independent omnichannel sell-side advertising platform that helps publishers and digital media owners monetize their content while enabling advertisers to reach audiences across multiple channels. Its platform supports the buying and selling of digital advertising inventory through automated auctions and direct transactions.

The company’s solutions serve connected television and streaming video, online display and mobile advertising, audio, and digital out-of-home media.