What Happened?
Shares of digital advertising platform Magnite (NASDAQ:MGNI) jumped 3.4% in the morning session after the company received a significant price target increase from financial firm B. Riley.
The analyst raised the price target on the digital advertising platform to $28.50 from $18.50, while it maintained its "Buy" rating on the stock. This bullish sentiment followed the company's recent announcement of a strategic partnership with advertising giant Dentsu for its operations in Europe, the Middle East, and Africa (EMEA). Under the agreement, Dentsu planned to utilize Magnite's technology to enhance its media supply chain, particularly for its "Total TV" advertising initiatives. The collaboration was aimed at accelerating innovation and performance in the digital ad space, providing a positive catalyst for investor confidence.
After the initial pop the shares cooled down to $23.47, up 2.4% from previous close.
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What Is The Market Telling Us
Magnite’s shares are extremely volatile and have had 32 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 1 day ago when the stock gained 4% on the news that it received a bullish analyst rating and announced a strategic partnership with advertising giant Dentsu. The advertising technology firm revealed a collaboration with Dentsu in Europe, the Middle East, and Africa (EMEA) to improve its media supply chain. Dentsu planned to use Magnite's video-focused tools to support its "Total TV" advertising strategy. This partnership aimed to strengthen Dentsu's ability to deliver targeted ad campaigns for its clients.
Adding to the positive sentiment, analysts at Benchmark raised their price target on Magnite's stock to $30 from $24, maintaining a "Buy" rating. The firm pointed to strong growth in the connected TV (CTV) advertising market, which involves ads on streaming services, as a key reason for its optimistic outlook.
Magnite is up 45.8% since the beginning of the year, and at $23.47 per share, it is trading close to its 52-week high of $24.67 from July 2025. Investors who bought $1,000 worth of Magnite’s shares 5 years ago would now be looking at an investment worth $3,883.
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