Magnite (NASDAQ:MGNI) Releases Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Magnite (NASDAQ:MGNI) announced its quarterly earnings data on Wednesday. The company reported $0.33 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.29 by $0.04, FiscalAI reports. The firm had revenue of $204.20 million during the quarter, compared to analysts’ expectations of $190.19 million. Magnite had a return on equity of 9.33% and a net margin of 22.49%. The company’s revenue for the quarter was up 22.4% compared to the same quarter last year. During the same period last year, the business posted $0.20 earnings per share.

Here are the key takeaways from Magnite’s conference call:

• Magnite reported Q3 contribution ex-TAC of $201 million, up 20%, and adjusted EBITDA of $83 million, up 46%, with a 42% margin. It raised 2026 growth, EBITDA margin, and free cash flow outlooks, and expects 2027 revenue growth excluding political spending to exceed 15%.
• CTV contribution ex-TAC rose 39% to $105 million and made up 53% of the quarter’s total. Management cited broad partner growth and expects a 25% long-term CTV growth rate, while noting this is an expectation rather than a guarantee.
• Political contribution ex-TAC is now expected to exceed $40 million in 2026, up from $15 million previously, with Q4 spend expected to exceed Q3. The unusually strong election cycle is a significant near-term tailwind, but political spending is inherently cyclical.
• Operating leverage and cost discipline boosted profitability: adjusted EBITDA margin expanded to 42% from 34% a year earlier, while streaming cost per billion ad requests fell more than 50% year over year. The company also reported $393 million in cash and negative 0.2x leverage.
• DV+ grew 5% in Q3, but management expects only 2%–4% growth in Q4 and characterized the business’s overall organic potential as flat to low-single-digit growth. It cited ongoing pressure on open-web traffic, partly offset by mobile in-app and commerce media.

Magnite Stock Performance

MGNI stock traded up $5.17 during trading on Thursday, hitting $27.96. 7,600,526 shares of the company traded hands, compared to its average volume of 2,500,336. Magnite has a 1 year low of $10.82 and a 1 year high of $28.17. The company has a market cap of $4.01 billion, a PE ratio of 25.66, a P/E/G ratio of 0.73 and a beta of 2.44. The stock’s 50-day simple moving average is $23.90 and its 200 day simple moving average is $17.72. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.02 and a quick ratio of 1.03.

Trending Headlines about Magnite

Here are the key news stories impacting Magnite this week:

• Positive Sentiment: Q3 results beat estimates: Magnite reported $0.33 in non-GAAP earnings per share and $204.2 million in revenue. Contribution ex-TAC increased 20% year over year to $200.6 million, and adjusted EBITDA rose 46% to $83.4 million. Magnite Q3 2026 results
• Positive Sentiment: Connected TV led growth: CTV contribution ex-TAC climbed 39% year over year to $105.4 million, above company guidance. Digital video and display (DV+) contribution ex-TAC also topped expectations, rising 5%. Magnite: 3 key takeaways
• Positive Sentiment: Company raised its 2026 outlook and issued 2027 targets: Magnite now expects 2026 contribution ex-TAC growth of about 17%, adjusted EBITDA growth of about 30%, and free-cash-flow growth above 60%. For 2027, it forecast over 15% top-line growth excluding political advertising and an adjusted EBITDA margin of at least 38.5%. Magnite raises outlook
• Positive Sentiment: RBC raised its price target to $30 from $27 and maintained an Outperform rating, signaling continued confidence in the shares. RBC raises Magnite price target
• Neutral Sentiment: Wells Fargo raised its target to $23 from $22 but kept an Equal Weight rating. The new target remains below the stock’s recent trading level, reflecting a more cautious view than RBC’s. Wells Fargo rating update

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on MGNI shares. Scotiabank reiterated a “sector outperform” rating on shares of Magnite in a report on Thursday. Benchmark upped their price objective on shares of Magnite from $30.00 to $33.00 and gave the company a “buy” rating in a report on Thursday, August 6th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $40.00 price objective on shares of Magnite in a report on Friday, October 2nd. B. Riley Financial increased their price objective on shares of Magnite from $27.00 to $30.00 and gave the stock a “buy” rating in a research note on Friday, September 18th. Finally, Needham & Company LLC raised their target price on shares of Magnite from $25.00 to $30.00 and gave the stock a “buy” rating in a report on Thursday, September 3rd. Eleven equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $30.18.

Insiders Place Their Bets

In related news, Director Douglas S. Knopper sold 37,337 shares of the stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $26.28, for a total transaction of $981,216.36. Following the sale, the director directly owned 51,136 shares of the company’s stock, valued at approximately $1,343,854.08. This represents a 42.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Katie Evans sold 13,997 shares of the firm’s stock in a transaction on Friday, September 11th. The shares were sold at an average price of $24.00, for a total transaction of $335,928.00. Following the sale, the insider owned 441,800 shares in the company, valued at approximately $10,603,200. This represents a 3.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 254,126 shares of company stock worth $6,161,335. Corporate insiders own 3.20% of the company’s stock.

Magnite Company Profile

Magnite, Inc operates an independent omnichannel sell-side advertising platform that helps publishers and digital media owners monetize their content while enabling advertisers to reach audiences across multiple channels. Its platform supports the buying and selling of digital advertising inventory through automated auctions and direct transactions.

The company’s solutions serve connected television and streaming video, online display and mobile advertising, audio, and digital out-of-home media.