Marathon Digital: Risk Is To The Upside As Capacity Ramps

Summary:

• Marathon Digital’s stock has been highly volatile but appears undervalued as it accumulates more Bitcoin and scales mining capacity with low compute costs.
• Marathon’s third-quarter report shows significant progress in mining capacity and lower computing costs, enhancing its competitive position and margins.
• Despite shareholder dilution to fund Bitcoin purchases, Marathon maintains a clean balance sheet with manageable long-term liabilities.
• Marathon’s valuation is attractive relative to Bitcoin and its historical metrics, making it a compelling buy for patient investors seeking exposure to Bitcoin mining.

Bitcoin miners have been through an unbelievably wild ride since the presidential election in the US, with many exploding higher only to see those gains quickly reversed. That’s been the case with Marathon Holdings (NASDAQ:MARA), moving from $16

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in MARA over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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