Critical Review: Marathon Patent Group (MARA) versus Digital Turbine (APPS)

Marathon Patent Group (NASDAQ: MARA) and Digital Turbine (NASDAQ:APPS) are both small-cap finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Profitability

This table compares Marathon Patent Group and Digital Turbine’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Marathon Patent Group -4,941.55% N/A -188.93%
Digital Turbine -18.66% -22.65% -11.95%

Institutional and Insider Ownership

4.0% of Marathon Patent Group shares are owned by institutional investors. Comparatively, 33.8% of Digital Turbine shares are owned by institutional investors. 7.8% of Marathon Patent Group shares are owned by company insiders. Comparatively, 5.8% of Digital Turbine shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Marathon Patent Group and Digital Turbine, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Marathon Patent Group 0 0 0 0 N/A
Digital Turbine 0 0 3 0 3.00

Digital Turbine has a consensus price target of $1.93, suggesting a potential upside of 15.08%. Given Digital Turbine’s higher probable upside, analysts plainly believe Digital Turbine is more favorable than Marathon Patent Group.

Earnings and Valuation

This table compares Marathon Patent Group and Digital Turbine’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Marathon Patent Group $510,000.00 48.89 -$31.33 million N/A N/A
Digital Turbine $91.55 million 1.38 -$24.26 million ($0.36) -4.67

Digital Turbine has higher revenue and earnings than Marathon Patent Group.

Volatility & Risk

Marathon Patent Group has a beta of 1.73, meaning that its stock price is 73% more volatile than the S&P 500. Comparatively, Digital Turbine has a beta of 1.4, meaning that its stock price is 40% more volatile than the S&P 500.

Summary

Digital Turbine beats Marathon Patent Group on 7 of the 11 factors compared between the two stocks.

About Marathon Patent Group

Marathon Patent Group, Inc., together with its subsidiaries, acquires and monetizes patents primarily in the United States. The company is involved in the acquisition of patents and patent rights from their owners ranging from individual inventors to Fortune 500 companies; and monetization of its patents and patent rights by entering into license discussions. As of September 30, 2017, it owned 170 patents. The company was formerly known as American Strategic Minerals Corporation and changed its name to Marathon Patent Group, Inc. in February 2013. Marathon Patent Group, Inc. was incorporated in 2010 and is headquartered in Los Angeles, California.

About Digital Turbine

Digital Turbine, Inc., through its subsidiaries, provides media and mobile communication solutions for mobile operators, app advertisers, device original equipment manufacturers, and other third parties worldwide. It operates through two segments, Advertising and Content. The Advertising segment offers Ignite, a mobile application management software to control, manage, and monetize the applications that are installed on mobile devices; Discover software, which provides application installation and management, as well as detailed reporting to advertisers and carriers; and mobile user acquisition platform that allows mobile advertisers to engage with right customers for their applications. This segment also provides syndicated network service, which accesses mobile ad inventory through publishers, including direct developer relationships, mobile Websites, mobile carriers, and mediated relationships; and programmatic advertising services. The Content segment offers Marketplace, an application and content store that manages the retailing of mobile content, including features, such as merchandising, product placements, reporting, pricing, promotions, and distribution of digital goods, as well as the distribution and licensing of content across various categories comprising music, applications, wallpapers, eBooks, and games; and Pay, an application programming interface that integrates billing infrastructure between mobile operators and content publishers to facilitate mobile commerce. The company was formerly known as Mandalay Digital Group, Inc. and changed its name to Digital Turbine, Inc. in January 2015. Digital Turbine, Inc. was incorporated in 1998 and is headquartered in Austin, Texas.

Receive News & Ratings for Marathon Patent Group Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Marathon Patent Group and related companies with MarketBeat.com's FREE daily email newsletter.



Leave a Reply