Q4 Earnings Highlights: Magnite (NASDAQ:MGNI) Vs The Rest Of The Advertising & Marketing Services Stocks
Looking back on advertising & marketing services stocks’ Q4 earnings, we examine this quarter’s best and worst performers, including Magnite (NASDAQ:MGNI) and its peers.
The sector is on the precipice of both disruption and growth as AI, programmatic advertising, and data-driven marketing reshape how things are done. For example, the advent of the Internet broadly and programmatic advertising specifically means that brand building is not a relationship business anymore but instead one based on data and technology, which could hurt traditional ad agencies. On the other hand, the companies in the sector that beef up their tech chops by automating the buying of ad inventory or facilitating omnichannel marketing, for example, stand to benefit. With or without advances in digitization and AI, the sector is still highly levered to the macro, and economic uncertainty may lead to fluctuating ad spend, particularly in cyclical industries.
The 7 advertising & marketing services stocks we track reported a slower Q4. As a group, revenues beat analysts’ consensus estimates by 1% while next quarter’s revenue guidance was 62.8% above.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 18.9% since the latest earnings results.
Weakest Q4: Magnite (NASDAQ:MGNI)
Born from the 2020 merger of Rubicon Project and Telaria, Magnite (NASDAQ:MGNI) operates the world's largest independent sell-side advertising platform that automates the buying and selling of digital advertising inventory across all channels and formats.
Magnite reported revenues of $194 million, up 3.8% year on year. This print fell short of analysts’ expectations by 6.1%. Overall, it was a disappointing quarter for the company with a significant miss of analysts’ EPS estimates.
“CTV performed well above expectations based on strength from our partnerships with many of the largest industry players. Our DV+ business grew modestly in Q4 due to marketers pausing campaigns after the election, but has rebounded since the start of 2025 and resumed growth in the mid-to-high single digits. We are very encouraged with partner and agency traction to start 2025, and have also made strides to improve efficiency across our business.” said Michael G. Barrett, CEO of Magnite.
Magnite Total Revenue
Magnite delivered the weakest performance against analyst estimates of the whole group. The stock is down 37% since reporting and currently trades at $10.61.
Operating across the United States, Liberty Broadband (NASDAQ:LBRDK) is a provider of high-speed internet, cable television, and telecommunications services across various markets.
Liberty Broadband reported revenues of $263 million, up 5.2% year on year, outperforming analysts’ expectations by 4.2%. The business had a stunning quarter with a solid beat of analysts’ EPS estimates.
The market seems happy with the results as the stock is up 7.8% since reporting. It currently trades at $87.57.
With a history dating back to 1902 and roots in the McCann-Erickson agency, Interpublic Group (NYSE:IPG) is a marketing and communications holding company that owns agencies specializing in advertising, media buying, public relations, and digital marketing services.
Interpublic Group reported revenues of $2.43 billion, down 5.9% year on year, falling short of analysts’ expectations by 3.1%. It was a disappointing quarter as it posted a significant miss of analysts’ EPS and organic revenue estimates.
Interpublic Group delivered the slowest revenue growth in the group. As expected, the stock is down 2.9% since the results and currently trades at $26.01.
Founded during the dot-com era in 1999 and specializing in high-intent consumer traffic, QuinStreet (NASDAQ:QNST) operates digital performance marketplaces that connect clients in financial and home services with consumers actively searching for their products.
QuinStreet reported revenues of $282.6 million, up 130% year on year. This print beat analysts’ expectations by 17.9%. It was a very strong quarter as it also logged full-year revenue guidance exceeding analysts’ expectations and a solid beat of analysts’ EPS estimates.
QuinStreet delivered the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. The stock is down 37% since reporting and currently trades at $15.85.
Often appearing as those "You May Also Like" or "Recommended For You" boxes at the bottom of news articles, Taboola (NASDAQ:TBLA) operates a digital platform that recommends personalized content to users across publisher websites, helping both publishers monetize their sites and advertisers reach target audiences.
Taboola reported revenues of $212.7 million, up 26.2% year on year. This result came in 0.7% below analysts' expectations. Taking a step back, it was still a strong quarter as it produced a solid beat of analysts’ EPS estimates and revenue guidance for next quarter exceeding analysts’ expectations.
Taboola had the weakest full-year guidance update among its peers. The stock is down 21.8% since reporting and currently trades at $2.90.
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