MARA Holdings (MARA) AI Stock Analysis

• Market Cap: $6.80B
• Dividend Yield: N/A
• Average Volume (3M): 60.18M
• Price to Earnings (P/E): 15.9
• Beta (1Y): 2.00
• Revenue Growth: 41.32%
• EPS Growth: -12.83%
• Country: US
• Employees: 171
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 1.84
• Shares Outstanding: 370,457,900
• 10 Day Avg. Volume: 75,044,870
• 30 Day Avg. Volume: 60,179,856
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.39
• Enterprise Value/Revenue: 11.82
• Enterprise Value/Gross Profit: -1.63K
• Enterprise Value/Ebitda: 6.61
• 1Y Price Target: $23.05
• Price Target Upside: 30.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 56 Neutral
• Price Target: $16.50 ▼(-6.46% Downside)

The overall stock score reflects a mixed financial performance with strong revenue growth but challenges in profitability and cash flow. Technical indicators suggest neutral momentum, while valuation metrics indicate moderate pricing. The earnings call and recent corporate events provide a positive outlook, with strategic expansions and record financial performance being significant strengths.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong market demand and effective operational strategies, enhancing long-term business sustainability.

Strategic Expansion

International expansion into energy-rich regions supports MARA's growth and diversification, strengthening its global market position.

AI and HPC Capabilities

Enhancing AI and HPC capabilities positions MARA to capitalize on emerging tech trends, diversifying revenue streams and boosting competitive edge.

Negative Factors

Profitability Challenges

Despite high EBITDA, negative profit margins indicate operational inefficiencies, posing risks to long-term profitability and cash flow stability.

High Leverage

High leverage can strain financial flexibility, increasing risk during economic downturns and potentially impacting future investment capabilities.

Cash Flow Issues

Negative cash flows highlight inefficiencies in converting revenue into cash, which may limit MARA's ability to fund operations and growth initiatives.

MARA Holdings Business Overview & Revenue Model

Company Description

Marathon Digital Holdings, Inc. operates as a digital asset technology company that mines cryptocurrencies with a focus on the blockchain ecosystem and the generation of digital assets in United States. As of December 31, 2021, it had approximately 8,115 bitcoins, which included the 4,794 bitcoins held in the investment fund. The company was formerly known as Marathon Patent Group, Inc. and changed its name to Marathon Digital Holdings, Inc. in February 2021. Marathon Digital Holdings, Inc. was incorporated in 2010 and is headquartered in Las Vegas, Nevada.

How the Company Makes Money

Marathon Digital Holdings generates revenue primarily through the mining of Bitcoin, utilizing its extensive fleet of high-performance mining rigs. The company earns money by solving complex cryptographic puzzles, which allows it to validate transactions on the Bitcoin network and receive newly minted Bitcoin as a reward. Additionally, Marathon may generate revenue from the sale of mined Bitcoin, which can fluctuate based on market conditions. The company also potentially benefits from strategic partnerships with energy providers to secure low-cost electricity for its mining operations, further enhancing profitability. Furthermore, by leveraging its infrastructure, Marathon may explore opportunities in blockchain technology and digital asset management, expanding its revenue streams.

MARA Holdings Financial Statement Overview

Summary

Marathon Digital Holdings shows a mixed financial performance with strong revenue growth and a solid equity base but faces profitability and cash flow challenges. The company’s high leverage and negative cash flows could pose risks, but strategic improvements in revenue generation and equity positioning offer potential upside.

Income Statement

The company's recent TTM data indicates a challenging financial environment, with a negative gross profit margin and EBIT margin, but a strong EBITDA margin at 178.76%. Revenue growth is notable, with a substantial increase from 2024 to TTM, showing resilience. However, the net profit margin has been inconsistent, currently at 84.98%, due to fluctuations in net income.

Balance Sheet

The balance sheet shows a relatively high debt-to-equity ratio, reflecting significant leverage, but the equity ratio has improved to 62.06%, indicating a strong equity base. Return on equity is solid at 14.16% in the TTM, showing effective use of shareholder funds despite the high level of liabilities.

Cash Flow

Operating cash flow and free cash flow remain negative, indicating cash flow challenges, although there is a significant increase in financing cash flow. The free cash flow to net income ratio is negative, highlighting potential issues in converting profits into cash. The operating cash flow to net income ratio is also negative, suggesting inefficiencies in core operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	798.41M	656.38M	387.51M	117.75M	159.16M	4.36M
Gross Profit	-5.78M	-159.37M	-15.34M	-33.67M	116.77M	-7.37M
EBITDA	1.43B	1.06B	467.46M	-601.78M	1.95M	-7.26M
Net Income	678.77M	541.25M	261.17M	-694.02M	-37.10M	-10.45M
Balance Sheet
Total Assets	7.72B	6.80B	1.99B	1.20B	1.45B	313.25M
Cash, Cash Equivalents and Short-Term Investments	109.47M	391.77M	357.31M	103.70M	268.56M	141.32M
Total Debt	2.65B	2.47B	326.13M	783.51M	728.41M	184.10K
Total Liabilities	2.93B	2.67B	375.05M	809.30M	765.22M	1.51M
Stockholders Equity	4.79B	4.13B	1.62B	385.94M	683.02M	311.74M
Cash Flow
Free Cash Flow	-1.52B	-930.48M	-343.26M	-217.59M	-727.14M	-91.16M
Operating Cash Flow	-1.13B	-677.02M	-315.65M	-176.48M	-18.22M	-7.77M
Investing Cash Flow	-2.87B	-3.23B	4.59M	-390.23M	-891.92M	-81.29M
Financing Cash Flow	3.58B	3.95B	555.86M	410.65M	1.04B	229.69M

MARA Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MARA, the sentiment is Positive. The current price of 17.64 is above the 20-day moving average (MA) of 16.53, above the 50-day MA of 16.59, and above the 200-day MA of 16.20, indicating a bullish trend. The MACD of 0.52 indicates Negative momentum. The RSI at 59.10 is Neutral, neither overbought nor oversold. The STOCH value of 63.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MARA.

MARA Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VIRT	78 Outperform	5.39B	7.95	22.04%	2.72%	25.12%	122.80%
SNEX	69 Neutral	4.66B	16.19	15.26%	―	53.19%	23.89%
MARA	56 Neutral	$6.80B	15.86	18.26%	―	41.32%	-12.83%
CIFR	54 Neutral	5.56B	-31.93	-20.56%	―	0.11%	-914.42%
RIOT	53 Neutral	6.65B	-38.78	-2.88%	―	93.46%	-166.22%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

MARA Holdings Corporate Events

Marathon Digital Expands with Exaion Investment Deal

On August 11, 2025, MARA Holdings, Inc. announced an investment agreement with Exaion SAS, a subsidiary of EDF, to acquire a 64% stake in Exaion, with the option to increase ownership to 75% by 2027. This strategic move is expected to expand MARA’s capabilities in AI and high-performance computing infrastructure, enhancing its market position and meeting the growing demand for secure cloud solutions.

Marathon Digital Raises $950M in Convertible Notes

On July 25, 2025, Marathon Digital Holdings completed a private offering of 0.00% convertible senior notes due 2032, raising $950 million. The proceeds are intended for repurchasing existing notes, capped call transactions, acquiring bitcoin, and general corporate purposes. The notes are convertible into common stock and are subject to specific conditions for redemption and conversion, impacting the company’s financial strategy and market positioning.

Marathon Digital Announces $950M Convertible Notes Offering

On July 23, 2025, MARA Holdings, Inc. announced the pricing of a $950 million upsized private offering of 0.00% convertible senior notes due 2032, with an option for initial purchasers to acquire an additional $200 million. The net proceeds are expected to be used for repurchasing existing convertible notes, capped call transactions, acquiring bitcoin, and general corporate purposes. The offering is anticipated to close on July 25, 2025, and is aimed at qualified institutional buyers, potentially impacting the market price of MARA’s common stock.

Marathon Digital Announces $850M Convertible Notes Offering

On July 23, 2025, MARA Holdings, Inc. announced that as of June 30, 2025, it had 310,000 energized miners and mined 2,358 bitcoin during the second quarter of 2025. The company’s total bitcoin holdings reached 49,951, and its compute power was 57.4 EH/s. Additionally, MARA announced a proposed private offering of $850 million in convertible senior notes due 2032, with plans to use the proceeds for repurchasing existing notes, acquiring bitcoin, and general corporate purposes. This move is expected to impact the market price of MARA’s common stock and notes.

Marathon Digital Holds Annual Stockholder Meeting Decisions

On June 26, 2025, Marathon Digital Holdings held its annual meeting of stockholders where key decisions were made regarding company leadership and operations. The election of Class II directors saw Georges Antoun and Jay Leupp elected to serve until 2028. The appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for 2025 was ratified. However, the compensation for the Named Executive Officers was not approved by stockholders. An amendment to the 2018 Plan was approved, reflecting strategic adjustments in the company’s governance.