| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 46 | 19.7x | 17.3x | Around median | |
Growth | 74 | 8.3% | 7.1% | Top tier | |
Quality | 88 | 13.4% | 4.5% | Top tier | |
Safety | 69 | 0.5x | 2.6x | Top tier | |
Capital Return | 67 | 0.00% | 0.06% | Top tier | |
Momentum | 89 | 31.5% | -1.6% | Top tier | |
Sentiment | 39 | 8 | 3 | Bottom tier |
The floor: what the company is worth if growth stopped today
77% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Magnite, Inc. (MGNI) operates in the technology infrastructure for programmatic buying and selling of digital advertising, with two main businesses: connected TV, CTV, and other digital advertising within DV+. It generates revenue from ad management, intermediation, and publisher monetization optimization services, while SpringServe unifies ad serving and demand management, and ClearLine provides buyers with direct access to advertising inventory. In quarter 1 of fiscal year 2026, as presented on the 2026-05-06 call, CTV accounted for 51% of contribution excluding traffic acquisition costs, versus 34% for mobile and 15% for desktop; these are contribution shares, not a breakdown of accounting revenue.
In quarter 2 of fiscal year 2026 ended 2026-06-30, revenue according to EL7 data was approximately 192.8 million dollars, net income was 19.4 million dollars, and diluted earnings per share were 0.14 dollars. Gross margin was 67.8%, and operating margin calculated by EL7 was 16.2% for the same period. Operating cash flow according to EL7 data was approximately 186.6 million dollars for that quarter, versus -120.8 million dollars in quarter 1 of fiscal year 2026, for which financial statements were filed on 2026-05-06; this makes assessing cash flow over a longer period more useful than relying on a single quarter.
Over the last 12 months through 2026-06-30, revenue was 742.0 million dollars and net income was 166.9 million dollars, while operating cash flow according to EL7 data was approximately 280.9 million dollars, equivalent to 168% of net income. Free cash flow calculated by EL7 (operating cash flow minus capital expenditures) for the last 12 months through 2026-06-30 was approximately 219.5 million dollars. The company's investment case centers on converting CTV expansion into cash and profitability, amid continued pressure on some DV+ activities and elevated stock-based compensation.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-11-04
CTV contribution growth compared with a 30% annual threshold
Operating margin calculated by EL7 compared with a 16.2% threshold
In the 2026-10-19 snapshot, the median analyst price target was 27 dollars within a range of 25 dollars to 32 dollars based on two analysts, so it remains a low-confidence indicative estimate that prices in expected growth, and this method is inherently inclined toward optimism. The discounted cash flow model estimates value at 19 dollars within a range of 16 dollars to 22 dollars, using a discount rate of 14.1%; it measures the value of expected cash generation, follows analysts' earnings estimates, and is inherently inclined toward conservatism. The industry-multiple value is 13 dollars within a range of 8.49 dollars to 23 dollars, based on next year's earnings at a median multiple of 9.8 for a sample of 20 companies, while the no-growth value is 4.57 dollars, assuming after-tax operating profit remains constant forever and discounting it at 14.1%. The analyst and discounted cash flow ranges overlap with the industry-multiple range to varying degrees, but their central values diverge because the first prices growth expectations, the second expected cash flow, and the third comparable peer pricing, while the no-growth value isolates what remains when growth stops. These differing readings are consistent with the valuation dimension score of 32 out of 100 within the industry according to 2026-06-30 data, which measures the attractiveness of multiples compared with peers.
Figures in the text are as of 2026-10-20; the live price is shown at the top of the page.
Magnite provides the technology infrastructure that helps publishers manage advertising and sell their inventory programmatically, and helps buyers access it. SpringServe combines ad serving, intermediation, and monetization optimization, while ClearLine provides buyers with a direct route to connected TV inventory. In quarter 1 of fiscal year 2026, according to the 2026-05-06 call, CTV accounted for 51% of contribution excluding traffic acquisition costs, versus 34% for mobile and 15% for desktop.
Operating cash flow according to EL7 data was approximately 280.9 million dollars over the last 12 months through 2026-06-30, versus net income of 166.9 million dollars, equivalent to cash conversion of 168%. Free cash flow calculated by EL7 (operating cash flow minus capital expenditures) for the last 12 months through 2026-06-30 was approximately 219.5 million dollars. However, operating cash flow according to EL7 data fluctuated between -120.8 million dollars in quarter 1 of fiscal year 2026, for which financial statements were filed on 2026-05-06, and 186.6 million dollars in quarter 2 of fiscal year 2026 ended 2026-06-30, requiring assessment over an extended period.
Automated analysis for informational purposes only — not investment advice.
Adjusted earnings margin guidance for fiscal year 2026 of at least 35.5%
The two businesses are not moving at the same pace, as CTV contribution excluding traffic acquisition costs grew 30% compared with the same quarter of the previous year in quarter 1 of fiscal year 2026, according to the 2026-05-06 call. Over the same period, DV+ contribution fell 5% compared with the same quarter of the previous year, despite mobile app advertising growing 8%. Offsetting this pressure depends on expansion in mobile, audio, and commerce media, whose partners numbered 21, including 13 partners operating and scaling according to the call.
On 2026-10-07, Magnite announced a 50 basis point interest rate reduction on a 358 million dollar secured loan, bringing the rate to SOFR plus 2.50%. The company expects savings of 1.8 million dollars in annual interest payments, and the transaction also included repricing a 175 million dollar revolving credit facility. The move reduces financing costs, while total debt according to EL7 data was approximately 417.0 million dollars versus cash and short-term investments of 332.6 million dollars at the end of quarter 2 of fiscal year 2026 ended 2026-06-30.
During the ninety days ended 2026-10-20, 28 sales by 11 insiders were recorded, totaling 16.5 million dollars. Sales comprised 15.7 million dollars under prearranged 10b5-1 trading plans and 795807 dollars outside them, with no open-market purchases recorded during the period. Sales by the largest executive seller totaled 6.7 million dollars, and these figures describe the transactions without independently establishing a conclusion about the stock.