Marathon Digital (MARA), a leading U.S.-based Bitcoin mining company, is pulling no punches in its bid to dominate Bitcoin mining. The company announced its latest power move: acquiring a wind farm in Texas to “convert underutilized sustainable resources into economic value” while slashing energy costs. This huge step, detailed in a company press release, aligns with Marathon’s strategy to integrate renewable energy into its mining operations, a trend that’s reshaping the industry.
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MARA Is Also Actively Buying Bitcoin
Marathon isn’t just mining Bitcoin; it’s actively buying it too. In just two months—October and November—the company added 6,484 Bitcoins at an average price of $95,352 per coin, according to a Securities and Exchange Commission filing. This $618.3 million purchase brought its total Bitcoin holdings to 34,959. Though Marathon’s stash is impressive, it’s still dwarfed by MicroStrategy (MSTR), the reigning king of Bitcoin holders, with a whopping 279,420 Bitcoins as of November 10, 2024.
Following MicroStrategy’s Lead
Marathon seems to be mirroring MicroStrategy’s playbook, financing its Bitcoin buys with convertible notes. Phillip Shoemaker of Identity.com noted to Sherwood News that this strategy is “similar to what Michael Saylor has so successfully done.” Marathon recently upped its senior note offering to $850 million, emphasizing its aggressive approach to accumulation.
Shoemaker added that Marathon is becoming a benchmark for other miners and renewable energy adopters, suggesting its strategy could spur broader changes in the energy and tech sectors.
Is MARA a Buy, Sell, or Hold?
Analysts remain sidelined about MARA stock, with a Hold consensus rating based on three Buys, five Holds and one Sell. Over the past year, MARA has increased by more than 65%, and the average MARA price target of $27.57 implies an upside potential of 9.7% from current levels.
