Shares of Marathon Digital (MARA) are down more than 9% in Thursday’s trading session, rebounding from an incredible session yesterday in which it was the most traded stock of the day. 

Investors traded more than 105 million shares of MARA for a total trading volume of $327. This beat out the usual suspects like Tesla, Apple, Amazon, and more. The price climbed more than 17% in the trading session, and this frenzy has added to the 156% surge in the past month alone.

All eyes are on Marathon Digital as the Bitcoin miner is expected to benefit from the approval of a spot Bitcoin exchange-traded fund (ETF) in just a few weeks. This will be followed up by a halving of Bitcoin in April.

The company responded by announcing just a few weeks ago it intends to purchase two mining centers for $179 million. This infrastructure will power 390 more megawatts of mining ability. Marathon Digital already boasts an impressive 584-megawatt output.

While MARA performance is compelling, it’s not the only miner benefiting from the increased attention on Bitcoin. Its competitor Riot Platforms was the 6th most traded stock yesterday. This company is investing in its capabilities as well, having just purchased $291 in Bitcoin mining rigs a few weeks back.

All this being said, MARA is now up more than 765% in the past year. As hype continues to mount for this stock, should you hop aboard the bandwagon and trade it yourself? 

We’ve looked at this opportunity through the VectorVest stock analyzing software and uncovered 3 enticing reasons to consider buying MARA today.

Despite Very Poor Upside Potential and Poor Safety, MARA Has Excellent Timing

VectorVest simplifies your trading strategy through a proprietary stock-rating system. It gives you all the insights you need to make calculated, emotionless trading decisions in 3 ratings: relative value (RV), relative safety (RS), and relative timing (RT).

Each rating sits on its own scale of 0.00-2.00 with 1.00 being the average, allowing for quick and easy interpretation. It gets even better, though. You’re presented with a clear buy, sell, or hold recommendation for any given stock at any given time based on its overall VST rating. As for MARA, here’s what you need to know:

  • Very Poor Upside Potential: The RV rating compares a stock’s long-term price appreciation potential (forecasted 3 years out) to AAA corporate bond rates and risk, offering much better insight than a simple comparison of price to value alone. MARA has a very poor RV rating of 0.29 right now, and VectorVest considers the stock to be overvalued.
  • Poor Safety: The RS rating is a risk indicator calculated through an analysis of the company’s financial consistency & predictability, debt-to-equity ratio, business longevity, sales volume, price volatility, and other factors. As for MARA, the RS rating of 0.82 is poor.
  • Excellent Timing: This is where things get interesting, as it’s impossible to ignore the torrent pace MARA has been on in both the short and long term. The stock is just about tipping out the scale with an excellent RT rating of 1.97. This is based on the direction, dynamics, and magnitude of the stock’s price movement day over day, week over week, quarter over quarter, and year over year.

The overall VST rating of 1.32 is very good for MARA. But, does excellent timing outweigh very poor upside potential and poor safety, or is it the other way around?

VectorVest currently rates this stock a BUY - but we encourage you to get the full picture through a free stock analysis today. Transform the way you invest to win more trades with less work and stress!

Want These Types of Insights at Your Fingertips so You Can Win More Trades?

Use VectorVest to analyze any stock free. VectorVest is the only stock analysis tool and portfolio management system that analyzes, ranks and graphs over 18,000 stocks each day for value, safety, and timing and gives a clear buy, sell or hold rating on every stock, every day.

VectorVest advocates buying safe, undervalued stocks, rising in price. MARA is now up 765%+ this year and was the most traded stock yesterday, as hype surrounding the immediate future of Bitcoin (and its mining companies) mounts. The stock may have very poor upside potential and safety, but its timing is excellent.

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