MARA Holdings (MARA) Is Down 15.9% After Pivoting Into Gas-Fed AI Data Centers And Power Sales

• Recently, MARA Holdings, formerly Marathon Digital, accelerated its shift from pure Bitcoin mining toward energy infrastructure and AI/high‑performance computing data centers, signing a letter of intent with MPLX to build natural gas-powered campuses in West Texas and pursuing the acquisition of a majority stake in Exaion.
• This pivot highlights MARA’s attempt to cushion the impact of Bitcoin’s latest downturn and mining margin pressure by developing more diversified, potentially recurring revenue sources in power sales and data center capacity.
• We’ll now examine how MARA’s push into natural gas-powered data centers and AI compute could reshape its existing investment narrative.

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MARA Holdings Investment Narrative Recap

To own MARA today, you need to believe it can evolve from a Bitcoin miner into an integrated energy and compute platform, without losing control of risk from crypto price swings and capital needs. The latest Bitcoin pullback and stock volatility directly affect the key near term catalyst, which is investor confidence in that pivot, and they reinforce the biggest current risk: Bitcoin driven earnings compression while MARA commits to heavy, long dated infrastructure spending.

Among recent announcements, the letter of intent with MPLX to develop up to 1.5 gigawatts of natural gas powered data center campuses in West Texas is especially relevant. It ties directly into MARA’s effort to secure long term, lower cost power and to create a base for AI and high performance computing capacity, which could become an important offset to mining margin pressure if the company can execute on time and on budget.

Yet, against this potential, investors should be aware of the added balance sheet pressure and dilution risk from...

Read the full narrative on MARA Holdings (it's free!)

MARA Holdings’ narrative projects $1.1 billion in revenue and $31.5 million in earnings by 2028. This requires 12.4% yearly revenue growth and a $647.3 million earnings decrease from $678.8 million today.

Uncover how MARA Holdings' forecasts yield a $23.96 fair value, a 147% upside to its current price.

Exploring Other Perspectives

Twelve Simply Wall St Community fair value estimates for MARA range from US$13.00 to about US$36.24, showing very different expectations. When you set that against MARA’s heavy Bitcoin exposure and capital intensive pivot into power and AI data centers, it underlines why checking several viewpoints on the company’s risk and reward trade off really matters.

Explore 12 other fair value estimates on MARA Holdings - why the stock might be worth just $13.00!

Build Your Own MARA Holdings Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your MARA Holdings research is our analysis highlighting 4 key rewards and 6 important warning signs that could impact your investment decision.
• Our free MARA Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate MARA Holdings' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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