Magnite (NASDAQ:MGNI) Stock Sees Heavy Call Option Buying

Magnite, Inc. (NASDAQ:MGNI) was the recipient of unusually large options trading activity on Wednesday. Investors bought 16,341 call options on the company. This represents an increase of 528% compared to the typical volume of 2,603 call options.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on MGNI shares. Royal Bank Of Canada raised their price target on Magnite from $20.00 to $27.00 and gave the stock an “outperform” rating in a research note on Thursday, August 6th. Craig Hallum reissued a “buy” rating and issued a $32.00 target price on shares of Magnite in a report on Thursday, September 17th. B. Riley Financial raised their target price on Magnite from $27.00 to $30.00 and gave the stock a “buy” rating in a research report on Friday, September 18th. Benchmark boosted their price target on Magnite from $30.00 to $33.00 and gave the company a “buy” rating in a research note on Thursday, August 6th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $40.00 price target on shares of Magnite in a research report on Friday, October 2nd. Ten analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $29.36.

Magnite Stock Performance

MGNI traded down $0.06 during midday trading on Wednesday, reaching $24.79. The company had a trading volume of 503,919 shares, compared to its average volume of 2,524,165. The company has a quick ratio of 1.03, a current ratio of 1.02 and a debt-to-equity ratio of 0.37. The business has a 50-day moving average of $23.71 and a two-hundred day moving average of $18.26. The company has a market cap of $3.55 billion, a P/E ratio of 22.77, a P/E/G ratio of 0.82 and a beta of 2.33. Magnite has a 1 year low of $10.82 and a 1 year high of $26.84.

Magnite (NASDAQ:MGNI) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $0.26 earnings per share for the quarter, beating analysts’ consensus estimates of $0.24 by $0.02. The firm had revenue of $192.82 million for the quarter, compared to analysts’ expectations of $179.15 million. Magnite had a return on equity of 9.33% and a net margin of 22.49%.The business’s quarterly revenue was up 11.3% on a year-over-year basis. During the same period in the previous year, the firm earned $0.20 EPS. As a group, equities research analysts predict that Magnite will post 0.61 earnings per share for the current fiscal year.

Insider Transactions at Magnite

In other news, CTO David Buonasera sold 1,165 shares of the business’s stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $24.00, for a total transaction of $27,960.00. Following the completion of the transaction, the chief technology officer directly owned 245,155 shares of the company’s stock, valued at $5,883,720. The trade was a 0.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Paul Caine sold 7,500 shares of the stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $26.50, for a total transaction of $198,750.00. Following the transaction, the director owned 137,401 shares in the company, valued at approximately $3,641,126.50. This trade represents a 5.18% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 672,759 shares of company stock valued at $15,780,319. Company insiders own 3.20% of the company’s stock.

Institutional Trading of Magnite

A number of hedge funds and other institutional investors have recently modified their holdings of MGNI. BlackRock Inc. bought a new stake in Magnite during the 2nd quarter valued at approximately $241,296,000. Capital Research Global Investors boosted its stake in Magnite by 85.0% in the 4th quarter. Capital Research Global Investors now owns 12,920,289 shares of the company’s stock worth $209,696,000 after purchasing an additional 5,937,428 shares during the period. Canada Pension Plan Investment Board purchased a new stake in Magnite during the 2nd quarter valued at approximately $56,847,000. 325 Capital LLC raised its position in shares of Magnite by 208.5% during the fourth quarter. 325 Capital LLC now owns 2,005,387 shares of the company’s stock valued at $32,547,000 after buying an additional 1,355,326 shares during the last quarter. Finally, Bank of America Corp DE bought a new stake in shares of Magnite during the second quarter valued at approximately $22,431,000. 73.40% of the stock is owned by hedge funds and other institutional investors.

Magnite Company Profile

Magnite, Inc is an independent sell-side advertising technology company that helps publishers, broadcasters and other content owners monetize digital advertising inventory. Its platform connects sellers of advertising space with brands, agencies and demand-side platforms, facilitating the automated buying and selling of ads across connected television (CTV), streaming video, mobile applications, websites, audio and digital out-of-home media.

The company offers tools for managing, packaging and selling advertising inventory, including programmatic auctions, direct and private marketplace transactions, audience targeting, yield optimization and measurement.