WallStSmart

Magnite Inc (MGNI)vsPenske Automotive Group Inc (PAG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Penske Automotive Group Inc generates 4343% more annual revenue ($31.72B vs $713.95M). MGNI leads profitability with a 20.3% profit margin vs 2.9%. MGNI appears more attractively valued with a PEG of 0.09. MGNI earns a higher WallStSmart Score of 77/100 (B+).

MGNI

Strong Buy

77

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 9.3Quality: 5.0

PAG

Buy

51

out of 100

Grade: C-

Growth: 2.7Profit: 5.5Value: 5.3Quality: 4.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MGNIUndervalued (+54.1%)

Margin of Safety

+54.1%

Fair Value

$25.69

Current Price

$14.13

$11.56 discount

UndervaluedFair: $25.69Overvalued
PAGFair Value (-1.7%)

Margin of Safety

-1.7%

Fair Value

$170.26

Current Price

$173.81

$3.55 premium

UndervaluedFair: $170.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MGNI6 strengths · Avg: 8.8/10
PEG RatioValuation
0.0910/10

Growing faster than its price suggests

EPS GrowthGrowth
230.0%10/10

Earnings expanding 230.0% YoY

Profit MarginProfitability
20.3%9/10

Keeps 20 of every $100 in revenue as profit

P/E RatioValuation
13.3x8/10

Attractively priced relative to earnings

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

PAG2 strengths · Avg: 8.0/10
P/E RatioValuation
12.3x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Areas to Watch

MGNI1 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-130.17M2/10

Negative free cash flow — burning cash

PAG4 concerns · Avg: 3.3/10
PEG RatioValuation
2.094/10

Expensive relative to growth rate

Profit MarginProfitability
2.9%3/10

2.9% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Debt/EquityHealth
1.563/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : MGNI

The strongest argument for MGNI centers on PEG Ratio, EPS Growth, Profit Margin. Profitability is solid with margins at 20.3% and operating margin at 25.4%. PEG of 0.09 suggests the stock is reasonably priced for its growth.

Bull Case : PAG

The strongest argument for PAG centers on P/E Ratio, Price/Book.

Bear Case : MGNI

The primary concerns for MGNI are Free Cash Flow.

Bear Case : PAG

The primary concerns for PAG are PEG Ratio, Profit Margin, Operating Margin. Debt-to-equity of 1.56 is elevated, increasing financial risk. Thin 2.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

MGNI profiles as a mature stock while PAG is a value play — different risk/reward profiles.

MGNI carries more volatility with a beta of 2.32 — expect wider price swings.

MGNI is growing revenue faster at 5.9% — sustainability is the question.

PAG generates stronger free cash flow (152M), providing more financial flexibility.

Bottom Line

MGNI scores higher overall (77/100 vs 51/100), backed by strong 20.3% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Magnite Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

Magnite, Inc. operates an independent sales advertising platform in the United States and internationally. The company is headquartered in Los Angeles, California.

Penske Automotive Group Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

Penske Automotive Group, Inc., a diversified transportation services company, operates commercial and automotive truck dealerships. The company is headquartered in Bloomfield Hills, Michigan.

Visit Website →

Want to dig deeper into these stocks?