MarketWise, Inc. (MKTW) stock analysis
Close on Nov 12, 2026Market cap $351.77MP/E 27.2Yield –
StockData Score
Prices as of Nov 12, 2026How the score works
Mixed14 of 30 checks passed
MarketWise passes 14 of the 30 checks behind our score; 9 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 4/6
- Growth
- 1/6
- Past performance
- 2/6
- Financial health
- 4/6
- Dividend
- 3/6
What stands out
Margin of safety over 20%
The price is 86.3% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $22.30 is below our fair value estimate of $163.34.
No debt
MarketWise has no borrowings on its latest balance sheet.
Interest well covered
No meaningful interest expense to cover.
What to watch
Revenue growing under 10% a year
Revenue grew -13.8% a year over the last three fiscal years, short of the 10% we look for.
EPS growing under 10% a year
Diluted EPS grew -45.9% a year over the last three fiscal years.
Elevated bankruptcy risk
The Altman Z-score is 0.34; above 3 is the safe zone and below 1.8 the distress zone.
P/E above its 5-year median
MarketWise's P/E of 27.2 is above its own 5-year median of 7.4.
Valuation4/6
P/E above its 5-year median
MarketWise's P/E of 27.2 is above its own 5-year median of 7.4.
P/E below the industry
MarketWise's P/E of 27.2 is below the Computer Programming, Data Processing, and Other Computer Related Services median of 27.3.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/S below the industry
MarketWise's price-to-sales of 0.19 is below the Computer Programming, Data Processing, and Other Computer Related Services median of 2.79 (book value is negative, so we use sales).
Trading below fair value
The share price of $22.30 is below our fair value estimate of $163.34.
Margin of safety over 20%
The price is 86.3% below fair value, more than the 20% cushion we look for.
Growth1/6
Revenue growing under 10% a year
Revenue grew -13.8% a year over the last three fiscal years, short of the 10% we look for.
EPS growing under 10% a year
Diluted EPS grew -45.9% a year over the last three fiscal years.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew -7.6% over the last twelve months; the Computer Programming, Data Processing, and Other Computer Related Services median is 9.6%.
Guidance raised
MarketWise raised its FY 2026 Billings outlook on Nov 5, 2026.
Gross margin slipping
Gross margin was 86.1% over the last twelve months, against 87.0% a year earlier.
Past performance2/6
Return on equity
Needs positive equity and five years of results.
Return on invested capital
Needs operating income and invested capital.
Return on equity against the industry
Needs positive equity.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin above its 5-year average
Net margin was 0.7% over the last twelve months, against a 5-year average of -35.4%.
Net margin above the industry
MarketWise's net margin of 0.7% is above the Computer Programming, Data Processing, and Other Computer Related Services median of -4.7%.
Financial health4/6
No debt
MarketWise has no borrowings on its latest balance sheet.
Debt not rising
With no debt today, leverage cannot have risen.
Debt covered by cash flow
There is no debt to cover.
Interest well covered
No meaningful interest expense to cover.
Short-term assets don't cover short-term debts
Current assets are 0.35 times current liabilities.
Elevated bankruptcy risk
The Altman Z-score is 0.34; above 3 is the safe zone and below 1.8 the distress zone.
Dividend3/6
Pays a dividend
MarketWise paid dividends worth 9.9% of the share price over the last twelve months.
Yield above Treasuries
The 9.9% yield is above the 4.6% on a 1-year Treasury.
Yield in the top quarter
The top quarter of US dividend payers yield 3.9% or more; MarketWise yields 9.9%.
Dividend stability
Fewer than five years of dividend history.
Earnings cover
Needs dividends paid and net income.
Cash-flow cover
Needs dividends paid and free cash flow.
Fair value
How we estimate itOur estimate per share
$163.34
The share price is 86% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/Eleft out, too far from the others | 19.8× | 7.4× | 27.3× | $16.22 | – |
| EV/EBITDA | 18.5× | – | 18.5× | $190.07 | 70% |
| Earnings power | 10.7% cost of equity | – | – | $100.97 | 30% |
| Fair value | $163.34 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 7.4
- Computer Programming, Data Processing, and Other Computer Related Services median 27.3
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
High risk
- Average value traded per day
- $389.30K
- Value traded per 1% price move
- $152.53K
Downside
Medium risk
- Typical loss in a bad month
- 16.4%
- Volatility (annualized)
- 52%
- Sharpe ratio, 1 year
- 0.53
- Beta to the S&P 500 (5Y)
- 1.14
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2018 to 2025
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -19.7% | -13.8% | -2.1% | – | |
| Gross profit | -20.7% | -14.2% | +6.3% | – | |
| Operating income | -29.7% | -10.5% | – | – | |
| Net income | -20.4% | -32.1% | – | – | |
| EPS, diluted | -35.5% | -45.9% | – | – | |
| Free cash flow | – | -1.9% | -3.9% | – |
Returns and balance sheet
8 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2018 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | – | -46.4% | |
| Return on assets | – | – | 2.4% | |
| Current ratio | – | 0.52 | 0.56 | |
| Capex to revenue | – | 0.1% | 0.1% | |
| Diluted shares | – | – | 2M |
Where the cash went
Fiscal 2021 to 2025, five years combined
MarketWise generated $242.54M from operations and spent $31.36M on capital expenditure, dividends and share buybacks. 2% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 1.7% | 1.37× | -19.73× | -46.4% |
| FY2024 | 1.7% | 1.25× | -27.78× | -59.8% |
| FY2023 | 0.4% | 1.07× | -25.99× | -11.0% |
| FY2022 | 3.5% | 1.19× | -12.39× | -51.6% |
| FY2021 | -184.5% | 1.55× | -16.22× | 4654.1% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$5.62M
- Cash generatingOperating cash flow above zero$45.96M
- Return on assets improvedROA up on the prior year1.8% → 2.2%
- Earnings backed by cashOperating cash flow above net income$45.96M vs $5.62M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose0.65 → 0.56
- No dilutionShare count did not rise2M → 2M
- Gross margin improvedGross margin up on the prior year87.60% → 86.49%
- More efficientAsset turnover rose1.03 → 1.26
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