Marathon Patent Group Inc. (NASDAQ:MARA)’s Q3 Revenues Grows 280%

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) traded higher after the company reported Q3 financial results that beat Wall Street expectations. Shares of the company gained 5.04% in Monday’s trading session to end the day at $1.46 a share.

Marathon Patent Group Inc. (NASDAQ:MARA)

MARA Stock Performance

The company generated revenues of $163 million for the three months ended September 30, 2017, up from revenues of $43,000 reported in Q3 2016. Operating loss for the period dropped to $3.9 million, compared to $10.7 million reported last year.

Despite the 5% rally, Marathon Patent Group Inc. (NASDAQ:MARA) is still trading in a downtrend. The IP licensing company has shed more than 70% in market value and is currently trading near its 52-week low of $0.50 a share.

Last month, the company was forced to initiate a reverse stock-split of its common stock in a bid to shore up its share price. The split was primarily intended to bring the company in compliance with the minimum average closing share price for continued listing in the NASDAQ Capital Market. A 4:1 reverse stock-split consequently reduced the company’s common stock from approximately 32.4 million shares to approximately 8.6 million shares.

Investor’s sentiments on the stock appear to have hit all-time lows despite the company making huge strides on revenue growth. It awaits to be seen if the stellar Q3 financial results is the catalyst that will help push the stock from current lows.

GBV Acquisition

In a bid to strengthen investor confidence in the stock, Marathon Patent Group Inc. (NASDAQ:MARA) announced the acquisition of Global Bit Ventures. The acquisition is part of the company’s plan to diversify its areas of operations. The company is currently eyeing growth opportunities in the digital currency space with the acquisition.

Global Bit Ventures joins Marathon Patent Group Inc. (NASDAQ:MARA) with a robust infrastructure around cryptocurrencies, with significant capability for expansion. The company boasts of a technology that powers and secures blockchains by operating custom hardware and software. It also owns 250GH/s of GPU mining servers.

“We previously expressed our intent to review alternative business directions with the goal of enhancing shareholder value. We believe the acquisition of Global Bit Ventures will take advantage of an ongoing revolution in digital transactions conducted on blockchains as we see increasing adoption and proliferation of blockchain protocols in our everyday lives,” said CEO, Doug Croxall.

According to GBV CEO, the merger marks an important milestone and sets the company on course for accelerated revenue growth

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $MARA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) Drops After Acquiring Global Bit Ventures

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) fell 19% after announcing a definitive agreement to acquire 100% ownership of Global Bit Ventures. The acquisition will expand the company’s operations into the cryptocurrency business.

Marathon Patent Group Inc. (NASDAQ:MARA)

Global Bit Venture Acquisition

Global Bit Ventures has developed a robust infrastructure that Marathon Patent Group Inc. (NASDAQ:MARA) plans to take advantage of, in its pursuit of growth opportunities around digital currencies. According to Chief Executive Officer, Doug Croxall, the acquisition underscores the company’s commitment to enhancing shareholders value by pursuing alternative business directions.

Prior to the acquisition of Global Bit Ventures, Marathon Patent Group Inc. (NASDAQ:MARA) was focused on the business of acquiring patents and patent rights from owners and other ventures. The company generates a good chunk of its earnings from monetization of the patent portfolio through license discussions. However, with the acquisition of GBV, its revenue stream should receive a boost.

“We believe the acquisition of Global Bit Ventures will take advantage of an ongoing revolution in digital transactions conducted on blockchain as we see increasing adoption and proliferation of blockchain protocols in our everyday lives,” said Mr. Croxall.

GBV boasts of a technology that powers and secures blockchain by operating custom hardware and software. GBV currently owns 250GH/s of GPU mining servers and plans to add 14PH/s of ASIC servers to further strengthen its prospects in the merging industry. The company’s director, Charles Allen, expects the merger to position the company for rapid revenue growth in the years to come.

Marathon Patent Group Inc. (NASDAQ:MARA) has been trading in a downtrend for the better part of the year. Investor’s sentiments has hit all-time lows at the back of a strong sell-off wave. The stock is down by more than 70% for the year as it continues to trade near its 52-week low of $1.49 a share.

Reverse Stock Split

Separately, Marathon Patent Group Inc. (NASDAQ:MARA) has initiated a four-for-one reverse-split for its outstanding common stock. The reverse split will reduce the company’s common stock from about 32.4 million shares to 8.6 million shares. The company is hoping the split will shore up the stock price thereby bring the company into compliance with the NASDAQ Capital Market minimum average closing price of $1 a share.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $MARA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Marathon Patent Group Inc (NASDAQ:MARA)

Marathon Patent Group Inc (NASDAQ:MARA) Overwhelmed By Selling Pressure

Marathon Patent Group Inc (NASDAQ:MARA)

Marathon Patent Group Inc (NASDAQ:MARA) shares continue to hit lower lows in the market, triggered by disappointing first-quarter results. Any major pullback in the recent past has only fueled the selling pressure as short sellers appear to remain in full control. The stock is currently trading in a tight range of $0.22 and $0.31 a share, well below its 52-week high of $3.44 a share and close to 52-week low of $0.270 a share.

Declining Revenues Concern

The IP licensing and management company announcing Q1 revenues of $78,000 appears to have fuelled the current selling pressure. Last year in the same quarter, Marathon generated revenues of $2.1 million. The big decline essentially raises serious questions about the company’s long-term prospects in the business of licensing and commercializing IPs. Marathon Patent Group Inc (NASDAQ:MARA)’s Chief executive officer, Doug Croxall has sought to calm the markets by reiterating the company’s growth prospects

“As expected, our first quarter was unsurprisingly light. While there were revenue opportunities, we remain unwilling to compromise what we believe to be reasonable licenses to try and impact a particular quarter. It’s for that reason we’ve always advised that our financial performance should be evaluated on an annual basis, as opposed to quarterly,” said Mr. Croxall.

Net loss for Q1 2017 came in at (-$0.13) a share, a slight improvement from a net loss of (-$0.16) a share generated last year. The shrinking net loss resulted, mostly, from an increase in weighted average basic and diluted shares in the market.

Debt Financing

Separately, Marathon Patent Group Inc (NASDAQ:MARA) recently entered into a definite agreement with investors for the purchase of 3.8 million shares at common stock price of $0.70 a share. The company also issued warrants for the purchase of an additional 2.28 million shares at an effective price of $0.01 a share with an exercise price of $0.83 a share.

The company expects gross proceeds of $2.66 million from the offering before deduction of placement agent discounts among other offerings. The IP licensing and commercialization company plans to use net proceeds for working capital and other general corporate purposes.

Marathon Patent Group Inc (NASDAQ:MARA) stock was up by $0.050 in Friday’s trading session having rallied by 22.73% to end the week at $0.270 a share

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $MARA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: James Marion is a University of Houston student studying Business with a concentration in Finance. James has interned with several investment professionals and hopes to pursue a career as a professional stock analyst after graduation.

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) Exploring New Business Lines after Q1 Big Revenue Miss

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) is exploring additional business lines after seeing its first quarter net loss narrow to (-$2.8) million in Q1 2017 compared to a net loss of (-$4.9) million reported last year. The company has since entered into a strategic relationship with Hermes Patents as part of an effort that will allow them to share information and pursue mutual strategic and financial objectives.

Hermes Patents Alliance

Doug Croxall, CEO, believes the strategic alliance has the potential to generate significant value going forward.

“Hermes Patents is both an excellent strategic partner and logical extension for Marathon, helping us evolve beyond the licensing of patents and intellectual property to capture more components of the global intellectual property management value chain. This relationship has been in development for a considerable period of time, requiring nominal investment by Marathon,” said Mr. Croxall.

Q1 Financial Results

For the first three months of the year, Marathon Patent Group Inc. (NASDAQ:MARA) reported revenues of $78,000 – a big drop from the $2.1 million reported last year for the same period. The company’s net operating loss included non-cash operating expenses relating to share-based compensation amortization and impairment of patents.

The IP and commercialization company says it generated a GAAP net loss of (-$0.19) a share for the quarter, compared to a net loss of (-$0.26) reported last year for the same period. During the quarter, the company also entered into an agreement that allowed it to pay off debt held by DBD Credit Funding LLC.

Public Offering

Separately, Marathon Patent Group Inc. (NASDAQ:MARA) has entered into definitive agreement with a number of investors who have agreed to purchase and sell 3,800,000 shares of its common stock at a price of $0.70 a share. The agreements also include warrants for the purchase of up to 2,280 shares of common stock at an average price of $0.01 per warrant with an exercise price of $0.83 a share.

The IP Company expects gross proceeds from the offering to total $2,660,000 before deduction of placement agent discounts among other offering expenses. Marathon Patent Group Inc. (NASDAQ:MARA) plans to use net proceeds from the offering for working capital as well as finance other general corporate purposes. The company is already eyeing a number of patent portfolios to bolster its core business.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

About the author: James Marion is a University of Houston student studying Business with a concentration in Finance.