Why Marathon Patent Group Inc. (NASDAQ:MARA) might degenerate?


Given that Marathon Patent Group Inc. (NASDAQ: MARA) posted EPS of $-1.85 in the last fiscal year and its stock now trading at $0.18.

The P/E for the current year is 0.90. Investors should keep in mind that Marathon Patent Group, Inc.’s EPS for this year is expected to grow -58.40% over the previous year’s EPS and price target for the next 12 months is estimates at $4.00.

Let?s look into the charts of the stock

The Barchart Technical Opinion rating is a 100% Sell with a Strongest short term outlook on maintaining the current direction. Longer term, the trend strength is Maximum. Long term indicators fully support a continuation of the trend. The market is in highly oversold territory. Beware of a trend reversal.

To decipher this, investors should keep in mind that a lower payout ratio implies that a company is only using a small fraction of its free cash to distribute to shareholders in form of dividends while retaining a large chunk of free cash for reinvestment in growth and other operating needs. Such prudent capital allocation ensures that a company is able to avoid cash crunch situations that can cripple its operations.

How much profit is Marathon Patent Group, Inc. squeezing from its operations? The company’s gross margin in the last fiscal year was 48.00%, operating margin was -37.00%,

In the most recent quarter, the company squeezed gross profit of $(2.17M) from sales of 78,137%, implying that costs of goods sold were $2.24M.

In terms of returns, Marathon Patent Group, Inc. posted return on equity of -% and return on investment of -265.70%.

The company concluded the latest quarter with total assets of $13.89M and total liabilities of $25.42M. Its net operating cash flow in the latest quarter was $(4.32M).

Marathon Patent Group, Inc. has a mixed stockholder ownership in the sense that insiders and institutional investors are involved in the stock. Insider ownership in the company stands at 29.31%. That compares with institutional ownership of 11.60%. The company has witnessed 0.00% insider transactions and 7.16% institutional transactions in the recent quarters.

Marathon Patent Group, Inc. (NASDAQ:MARA) (“Marathon” or “Company”), an IP licensing and management company, today announced that on Friday, May 19, 2017, the court issued an order in the matter of its subsidiary Signal IP, Inc. v. Fiat U.S.A., Inc., Case: 2-14-cv-13864, adjourning the trial until further notice of the Court.