Magnite’s President of Revenue and Market Strategy, Sean Buckley, said at Citi’s 2026 Global TMT Conference that connected TV (CTV) revenue grew 36% sequentially in the second quarter. Overall revenue growth reached roughly 13% to 14%, up from 10% to 11% in the prior year period. The company raised its EBITDA margin guidance to at least 37%, up from the 34.89% level expected by analysts at the start of the year, while maintaining free cash flow guidance in the high 40% range.
A $10 million revenue beat in Q2 translated into an $8 million EBITDA beat. Management expects more than 80% flow-through from top-line beats to EBITDA above the 13% to 14% growth range, with incremental margins flowing through at 90% to 95%. Magnite’s market capitalization stands at $3.37 billion and its price-to-earnings ratio is 21.4. Capital expenditure guidance for the year is $60 million, and more than 50% of free cash flow is targeted for share buybacks.
Magnite estimates it holds 6% to 7% of the overall market and 16% to 17% of the market excluding Google. Each market share point gained via potential Google remedies would contribute $50 million in ex-TAC net revenue. The company’s win rates remain in the low single digits, compared with Google’s double-digit rates. Shares closed at $24.14, down 1.99% ($0.49), with after-hours trading at $25.15, up 4.18% ($1.01). Wall Street’s consensus recommendation is 1.47, with price targets ranging from $21 to $40.
Live sports ad spend rose 56% year-over-year from January through July, representing about 40% of TV ad spend, though programmatic penetration remains low. Approximately 30 global publishers control 80% of CTV inventory. Magnite has more than 20 commerce media partnerships across its digital video plus and CTV platforms. The open web and display segment declined in the high single digits due to referral traffic changes and AI overview effects.
The company achieved net debt zero after paying down borrowings from an initial 6x leverage position used to fund past acquisitions, and has not pursued large deals in the last four years. An internal load balancer saves roughly $20,000 per day. Buckley noted that programmatic is becoming the default transaction mechanism in CTV, while Nick Kormeluk, SVP of Investor Relations, said the current Google antitrust order is a 1.5‑page sealed document, with full behavioral remedies still pending for 14 days.
