MARA Holdings (NASDAQ:MARA) experienced a sharp decline on Thursday, with shares sliding 8.4% to $12.25 in early afternoon trading, even as bitcoin prices climbed 2.5% to $61,621. The divergence highlights a growing disconnect between cryptocurrency mining companies and the underlying digital asset, as investors reassess miner-specific risks.
The iShares Bitcoin Trust (NASDAQ:IBIT), which tracks spot bitcoin, rose 2.8% to $34.95, while the tech-heavy Invesco QQQ Trust (NASDAQ:QQQ) fell 2.3% to $708.79. MARA's performance aligned more closely with its mining peers than with bitcoin itself. Riot Platforms (NASDAQ:RIOT) dropped 9.3%, CleanSpark (NASDAQ:CLSK) fell 9.1%, IREN (NASDAQ:IREN) slid 10.8%, and Core Scientific (NASDAQ:CORZ) declined 10.9%.
The market's reaction underscores a shift in how investors value mining stocks. According to market data, MARA's equity is now valued at approximately $1.97 billion, down roughly $426 million from Wednesday's close. This valuation places the company above its last reported bitcoin and cash holdings, suggesting the market is assigning value to mining infrastructure and data-center initiatives.
As of March 31, MARA held 35,303 bitcoin and $513.7 million in cash and equivalents. At Thursday's bitcoin price, the crypto holdings alone were worth about $2.18 billion. Combined with cash, MARA's total bitcoin-and-cash pile was approximately $2.69 billion, while its market capitalization stood at $4.66 billion. The equity premium over these assets is now $1.97 billion, down from $2.40 billion at Wednesday's close.
The company's underlying operational metrics have become less transparent. In the first quarter, MARA mined 2,247 bitcoin but sold 20,880 bitcoin at an average price of $70,137. The purchased energy cost per bitcoin at owned sites surged to $40,047 from $35,728 a year earlier. MARA reported a net loss of $1.3 billion for the quarter, with $1.0 billion attributable to fair-value adjustments on digital assets.
MARA has been actively restructuring its balance sheet, selling approximately $1.5 billion worth of bitcoin last quarter. The proceeds were used to repurchase over $1 billion in 2030 and 2031 notes and reduce its credit line by $200 million. The company has indicated it will continue selling bitcoin as needed for liquidity, capital expenditures, or other purposes.
The company is also making a strategic pivot toward energy and data-center infrastructure. MARA is acquiring Long Ridge Energy & Power from FTAI Infrastructure (NASDAQ:FIP) for about $1.5 billion, including debt. The acquisition includes a gas-fired power facility in Hannibal, Ohio, and over 1,600 acres earmarked for a planned data-center campus. CEO Fred Thiel described the site as having "all the key components for us, for the ideal data center campus."
Barron's reported in March that Thiel characterized the bitcoin sales as a move to "enhance financial flexibility" as MARA expands into digital energy and AI/high-performance computing infrastructure, rather than remaining solely a bitcoin miner.
Adding to near-term uncertainty, U.S. stock markets will be closed on Friday, July 3, for the Independence Day holiday. While MARA shares will not trade, bitcoin will continue to trade over the long weekend, leaving the stock exposed to potential crypto price swings before markets reopen.
