BTIG raises Magnite stock price target to $33 on strong CTV growth

BTIG has increased its price target for Magnite (NASDAQ: MGNI) stock to $33, up from the previous $27, following the company's impressive third-quarter 2026 earnings report. The company's connected TV revenue rose by 39% year-over-year to approximately $105 million, with total contribution excluding traffic acquisition costs growing by 20% to around $200 million, surpassing guidance.

Adjusted EBITDA was reported at $83 million, reflecting an 18% increase year-over-year and representing 46% growth. Over the past year, Magnite's stock has gained 81%, trading near its 52-week high of $28.17. Magnite's financial health is indicated by a perfect Piotroski Score of 9. The company raised its guidance for fiscal 2026 total contribution excluding traffic acquisition costs to approximately 17% year-over-year growth and adjusted EBITDA growth to 30% year-over-year, implying an EBITDA margin of 38.5%.

With a P/E ratio of 23 and a PEG ratio of just 0.1, Magnite's stock appears to be attractively valued relative to its growth rate. Magnite anticipates accelerating fiscal 2027 total contribution excluding traffic acquisition costs and political revenue growth to approximately 15% organic growth compared to 11% growth excluding political in fiscal 2026.

Political advertising is expected to contribute around $40 million to fiscal 2026 contribution, which is 2.5 to 3 times higher than initial expectations. Following the earnings beat, Magnite hosted a roadshow with new CFO Brian Gephart and SVP IR Nick Kormeluk. Other news outlets, such as Scotiabank and Susquehanna, have also raised their price targets for Magnite stock, reflecting the company's strong performance in connected TV and political advertising.