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MGNI Stock Analysis 2026 - MAGNITE, INC. AI Rating

MGNI Nasdaq Services-Computer Programming, Data Processing, Etc. DE CIK: 0001595974
Recently Updated • Analysis: Apr 1, 2026 • SEC Data: 2025-12-31
BUY
72% Conf
Pending
Analysis scheduled

📊 MGNI Key Takeaways

Revenue: $714.0M
Net Margin: 20.3%
Free Cash Flow: $165.6M
Current Ratio: 1.02x
Debt/Equity: 0.60x
EPS: $0.95
AI Rating: BUY with 72% confidence

Is MGNI a Good Investment? Thesis Analysis

Claude

Magnite demonstrates strong operational profitability with a 20.3% net margin and robust free cash flow generation (23.2% FCF margin), indicating efficient core business operations. However, modest revenue growth of 6.9% YoY and tight liquidity (1.02x current ratio) temper enthusiasm, requiring monitoring of cash deployment and growth acceleration.

Why Buy MGNI? Key Strengths

Claude
  • + Exceptional free cash flow conversion at 23.2% of revenue, demonstrating capital-efficient business model
  • + Strong net profitability with 20.3% net margin and significant YoY earnings growth of 534.7%, indicating improved operational leverage
  • + Solid cash position of $553.4M provides financial flexibility and runway for strategic investments
  • + Reasonable debt-to-equity ratio of 0.60x with acceptable interest coverage of 3.1x

MGNI Investment Risks to Consider

Claude
  • ! Weak revenue growth of only 6.9% YoY raises concerns about market demand and competitive positioning in ad tech sector
  • ! Tight liquidity with current ratio of 1.02x leaves minimal buffer for operational disruptions or unexpected liabilities
  • ! Significant insider activity (23 Form 4 filings in 90 days) warrants attention to potential stock dilution or insider sentiment
  • ! High debt load of $556.1M against total equity of $922.4M limits financial flexibility for major acquisitions or downturns

Key Metrics to Watch

Claude
  • * Revenue growth rate acceleration (target: >10% YoY) to validate platform demand
  • * Free cash flow sustainability and cash conversion ratios
  • * Debt reduction progress and interest coverage maintenance above 3.0x
  • * Operating margin expansion potential through revenue leverage
  • * Current ratio improvement to strengthen liquidity cushion

MGNI Financial Metrics

Revenue
$714.0M
Net Income
$144.6M
EPS (Diluted)
$0.95
Free Cash Flow
$165.6M
Total Assets
$3.2B
Cash Position
$553.4M

💡 AI Analyst Insight

The 23.2% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.

MGNI Profitability Ratios

Gross Margin N/A
Operating Margin 13.7%
Net Margin 20.3%
ROE 15.7%
ROA 4.6%
FCF Margin 23.2%

MGNI vs Technology Sector

How MAGNITE, INC. compares to Technology sector averages

Net Margin
MGNI 20.3%
vs
Sector Avg 18.0%
MGNI Sector
ROE
MGNI 15.7%
vs
Sector Avg 22.0%
MGNI Sector
Current Ratio
MGNI 1.0x
vs
Sector Avg 2.5x
MGNI Sector
Debt/Equity
MGNI 0.6x
vs
Sector Avg 0.5x
MGNI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is MGNI Overvalued or Undervalued?

Based on fundamental analysis, MAGNITE, INC. has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
15.7%
Sector avg: 22%
Net Profit Margin
20.3%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.60x
Sector avg: 0.5x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

MGNI Balance Sheet & Liquidity

Current Ratio
1.02x
Quick Ratio
1.02x
Debt/Equity
0.60x
Debt/Assets
70.9%
Interest Coverage
3.08x
Long-term Debt
$556.1M

MGNI 5-Year Financial Trend & Growth Analysis

MGNI 5-year financial data: Year 2021: Revenue $468.4M, Net Income -$25.5M, EPS $-0.48. Year 2022: Revenue $577.1M, Net Income -$53.4M, EPS $-0.55. Year 2023: Revenue $619.7M, Net Income $65.0K, EPS $0.00. Year 2024: Revenue $668.2M, Net Income -$130.3M, EPS $-0.98. Year 2025: Revenue $714.0M, Net Income -$159.2M, EPS $-1.17.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: MAGNITE, INC.'s revenue has grown significantly by 52% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.17 indicates the company is currently unprofitable.

MGNI Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
23.2%
Free cash flow / Revenue

MGNI Quarterly Performance

Quarterly financial performance data for MAGNITE, INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $162.0M -$1.1M $0.04
Q2 2025 $162.9M -$1.1M $-0.01
Q1 2025 $149.3M -$9.6M $-0.07
Q3 2024 $150.1M -$1.1M $0.04
Q2 2024 $152.5M -$1.1M $-0.01
Q1 2024 $130.2M -$17.8M $-0.13
Q3 2023 $145.8M -$17.5M $-0.13
Q2 2023 $137.8M -$25.0M $-0.19

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

MGNI Capital Allocation

Operating Cash Flow
$236.2M
Cash generated from operations
Stock Buybacks
$46.3M
Shares repurchased (TTM)
Capital Expenditures
$70.5M
Investment in assets
Dividends
None
No dividend program

MGNI SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for MAGNITE, INC. (CIK: 0001595974)

📋 Recent SEC Filings

Date Form Document Action
Feb 25, 2026 8-K mgni-20260225.htm View →
Feb 25, 2026 10-K mgni-20251231.htm View →
Feb 18, 2026 4 xslF345X05/form4-02182026_090258.xml View →
Feb 18, 2026 4 xslF345X05/form4-02182026_040222.xml View →
Feb 18, 2026 4 xslF345X05/form4-02182026_040214.xml View →

Frequently Asked Questions about MGNI

What is the AI rating for MGNI?

MAGNITE, INC. (MGNI) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are MGNI's key strengths?

Claude: Exceptional free cash flow conversion at 23.2% of revenue, demonstrating capital-efficient business model. Strong net profitability with 20.3% net margin and significant YoY earnings growth of 534.7%, indicating improved operational leverage.

What are the risks of investing in MGNI?

Claude: Weak revenue growth of only 6.9% YoY raises concerns about market demand and competitive positioning in ad tech sector. Tight liquidity with current ratio of 1.02x leaves minimal buffer for operational disruptions or unexpected liabilities.

What is MGNI's revenue and growth?

MAGNITE, INC. reported revenue of $714.0M.

Does MGNI pay dividends?

MAGNITE, INC. does not currently pay dividends.

Where can I find MGNI SEC filings?

Official SEC filings for MAGNITE, INC. (CIK: 0001595974) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is MGNI's EPS?

MAGNITE, INC. has a diluted EPS of $0.95.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is MGNI a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, MAGNITE, INC. has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.

Is MGNI stock overvalued or undervalued?

Valuation metrics for MGNI: ROE of 15.7% (sector avg: 22%), net margin of 20.3% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy MGNI stock in 2026?

Our dual AI analysis gives MAGNITE, INC. a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.

What is MGNI's free cash flow?

MAGNITE, INC.'s operating cash flow is $236.2M, with capital expenditures of $70.5M. FCF margin is 23.2%.

How does MGNI compare to other Technology stocks?

Vs Technology sector averages: Net margin 20.3% (avg: 18%), ROE 15.7% (avg: 22%), current ratio 1.02 (avg: 2.5).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 1, 2026 | Data as of: 2025-12-31 | Powered by Claude AI