MNTN Inc. (NYSE: MNTN) is set to see its lock-up period expire on November 18, 2023. This significant development follows the company’s public offering of 11,700,000 shares on May 22, 2023, which raised a total of $187.2 million at an initial share price of $16.00.
The expiration of the lock-up period means that insiders and major shareholders will be allowed to sell their shares for the first time since the offering. This could potentially impact the stock’s trading dynamics as new shares enter the market.
Analyst Ratings and Market Insights
Recent analysis from several equity research firms has provided varying outlooks for MNTN. On November 5, 2023, Morgan Stanley set a target price of $22.50 for the stock. In contrast, Evercore ISI adjusted its target downward from $39.00 to $33.00, while maintaining an “outperform” rating.
Citizens JMP also lowered its price objective from $33.00 to $23.00, affirming a “market outperform” rating. JMP Securities reiterated a target price of $23.00. Additionally, Needham & Company LLC revised its target from $35.00 to $18.00, retaining a “buy” rating.
The consensus rating from analysts is currently a “Moderate Buy,” with an average target price of $27.15, according to data from MarketBeat.com. Among analysts, one has assigned a Strong Buy rating, eight have given a Buy rating, one has issued a Hold rating, and one has assigned a Sell rating.
Financial Performance and Institutional Investment
MNTN reported its latest earnings results on November 4, 2023. The company posted earnings per share (EPS) of $0.08, exceeding analysts’ predictions of $0.04. Revenue for the quarter reached $70 million, slightly below the anticipated $70.11 million, but still represents a notable increase of 22.6% compared to the same quarter last year.
In terms of institutional investment, several hedge funds have recently adjusted their holdings in MNTN. Notably, TD Asset Management Inc. acquired a new stake worth approximately $731,000 in the second quarter. Concurrent Investment Advisors LLC and Bank of Montreal also made new investments, valued at around $492,000 and $4.43 million, respectively. Currently, institutional investors hold approximately 72.90% of MNTN’s stock.
MNTN is focused on revolutionizing Connected TV (CTV) as a performance marketing channel. Their Performance TV (PTV) platform aims to combine the engaging storytelling of television advertising with the precise targeting and measurement capabilities of digital marketing.
As MNTN approaches the end of its lock-up period, market watchers will closely monitor how these developments will influence trading activity and investor sentiment in the coming weeks.
