Is the business good?
How good a business is MGNI?
Magnite, Inc. earns 7.8% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
7.8%
Return on invested capital · cost of capital 9.0% · 1.2 points below what the capital costs: growth destroys value
- Operating margin
- 15%
Operating margin · Advertising Agencies median 11% · 12 months to Q1 2026
- Cash conversion
- 0.30×
Cash conversion · some of the reported profit has not turned into cash yet
- Share count, year on year
- +4.4%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | −24% |
| FY2021 | −17% |
| FY2022 | −20% |
| FY2023 | −25% |
| FY2024 | 7.6% |
| FY2025 | 14% |
Details›
- Gross margin12 months to Q1 2026
- 63%
- Operating margin12 months to Q1 2026
- 15%
- Net margin12 months to Q1 2026
- 22%
- Free cash flow margin
- 6.5%
- R&D as % of revenue
- 12%
- Revenue, trailing twelve months
- $723M
- Free cash flow, trailing twelve months
- $47M
- Net income, trailing twelve months
- $159M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 7.8%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Advertising Agencies
Ranks #5 of 9 by Smart Score