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MarketWise (MKTW)
NASDAQ:MKTW
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MarketWise (MKTW) AI Stock Analysis

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MKTW

MarketWise

(NASDAQ:MKTW)

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Neutral 57 (OpenAI - 5.2)
Rating:57Neutral
Price Target:
$21.00
▲(5.32% Upside)
Action:Reiterated
Date:06/09/26
The score is driven primarily by mixed financial quality (strong margins and currently positive free cash flow, but declining revenue and a weak balance sheet with negative equity). Valuation is a meaningful offset with a low P/E and high dividend yield, while technical indicators remain weak and recent corporate events are mixed.
Positive Factors
Very strong gross margins
Sustained mid-80% gross margins reflect a high-margin digital subscription model with low incremental costs. This structural advantage supports durable profitability as revenue scales, enabling reinvestment in content and steady gross-profit generation even if revenue growth moderates.
Negative Factors
Persistently negative stockholders' equity
Negative equity erodes financial flexibility and raises governance and solvency perception risks. It can complicate capital-raising, limit strategic options, and make balance-sheet metrics unreliable, constraining the firm's ability to absorb shocks or fund larger growth initiatives.
Read all positive and negative factors
Positive Factors
Negative Factors
Very strong gross margins
Sustained mid-80% gross margins reflect a high-margin digital subscription model with low incremental costs. This structural advantage supports durable profitability as revenue scales, enabling reinvestment in content and steady gross-profit generation even if revenue growth moderates.
Read all positive factors

MarketWise (MKTW) vs. SPDR S&P 500 ETF (SPY)

MarketWise Business Overview & Revenue Model

Company Description
MarketWise, Inc. operates a comprehensive multi-brand platform that offers subscription-based financial research, educational materials, software, and specialized tools to investors across the United States and internationally. The company's diver...
How the Company Makes Money
MarketWise primarily makes money by selling paid subscriptions to its investment research and financial publishing products. The core revenue stream is subscription and newsletter publishing revenue generated from customers who pay for access to p...

MarketWise Financial Statement Overview

Summary
Fundamentals are mixed: gross margins are very strong and TTM operating/free cash flow are positive, but revenue is slightly down versus last year and net margins are thin. The balance sheet is a key drag due to persistently negative stockholders’ equity and declining assets, which reduces financial flexibility.
Income Statement
54
Neutral
Balance Sheet
38
Negative
Cash Flow
63
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue321.64M328.12M408.70M448.18M512.40M549.18M
Gross Profit277.96M283.79M358.04M391.38M449.71M309.93M
EBITDA50.02M68.78M96.19M58.21M105.53M-948.74M
Net Income4.16M5.62M7.06M1.78M17.99M-1.01B
Balance Sheet
Total Assets201.92M218.38M259.51M396.56M442.51M421.55M
Cash, Cash Equivalents and Short-Term Investments52.67M70.14M97.88M155.17M158.57M139.08M
Total Debt5.71M6.08M4.37M5.81M7.32M8.21M
Total Liabilities428.81M432.00M477.44M685.50M740.89M826.82M
Stockholders Equity-12.24M-11.68M-12.54M-11.08M-21.20M-48.55M
Cash Flow
Free Cash Flow42.13M45.57M-22.83M60.70M48.20M62.46M
Operating Cash Flow42.15M45.96M-22.15M62.43M48.37M63.63M
Investing Cash Flow-1.95M-1.57M-681.00K-1.90M-13.24M-8.31M
Financing Cash Flow-66.69M-72.11M-34.46M-63.95M-16.19M-30.68M

MarketWise Technical Analysis

Technical Analysis Sentiment
Positive
Last Price19.94
Price Trends
50DMA
18.45
Positive
100DMA
17.54
Positive
200DMA
16.06
Positive
Market Momentum
MACD
0.55
Positive
RSI
65.87
Neutral
STOCH
44.98
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MKTW, the sentiment is Positive. The current price of 19.94 is below the 20-day moving average (MA) of 20.19, above the 50-day MA of 18.45, and above the 200-day MA of 16.06, indicating a bullish trend. The MACD of 0.55 indicates Positive momentum. The RSI at 65.87 is Neutral, neither overbought nor oversold. The STOCH value of 44.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MKTW.

MarketWise Risk Analysis

MarketWise disclosed 47 risk factors in its most recent earnings report. MarketWise reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

MarketWise Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$153.38M21.5914.58%0.98%6.55%11.41%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
66
Neutral
$187.21M4.8644.62%5.20%1319.56%
57
Neutral
$318.18M11.26-30.68%4.51%-16.07%-85.04%
55
Neutral
$194.77M-7.70-10.61%-9.70%61.30%
46
Neutral
$106.09M-0.1161.87%82.80%-243.73%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MKTW
MarketWise
21.13
3.35
18.85%
EGAN
eGain
7.23
0.78
12.09%
TRAK
ReposiTrak
8.61
-7.94
-47.98%
COE
China Online Education Group
18.99
-13.36
-41.30%
SMRT
SmartRent
1.30
0.16
14.04%

MarketWise Corporate Events

Executive/Board ChangesShareholder Meetings
MarketWise Shareholders Reject Executive Pay in Annual Meeting
Negative
Jun 8, 2026
On June 4, 2026, MarketWise, Inc. held its Annual Meeting of Stockholders, where investors elected Matthew Turner as a Class II director to serve until the 2029 annual meeting and ratified Grant Thornton LLP as the independent registered public ac...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
MarketWise Posts Strong Q1, Boosts Buybacks and Dividends
Positive
May 7, 2026
On May 7, 2026, MarketWise reported unaudited first-quarter 2026 results showing net revenue of $77 million, billings of $81.4 million—its strongest quarter since 2023—and a net loss of $0.6 million, largely tied to timing differences ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 09, 2026