Benzinga Pro data showed MARA Holdings shares trading at $7.14 on Tuesday, a gain of 7.53% at publication. A filing disclosing a share repurchase authorization of up to $500 million appears to be supporting Tuesday's advance. MARA's board approved the repurchases after the quarter ended. The authorization suggests management considers MARA shares undervalued.

MARA shares have recovered about 33% from last week's low. The stock reached a 52-week low of $5.69 last Thursday. Tuesday's trading took the shares as high as $7.58 before the price retreated.

MARA announced third-quarter results on Monday, reporting a return to profit despite sharply lower revenue. Revenue dropped 35% from a year earlier to $164.2 million. Net income increased to $632.1 million, including an $885.3 million fair-value gain on MARA's bitcoin. Benzinga Pro reported diluted earnings of $1.28 per share, compared with an expected loss of 20 cents per share. Benzinga Pro reported that revenue missed expectations. MARA produced 2,247 bitcoin during the quarter and raised MARA's hash rate by 18%.

MARA repaid $750 million in bitcoin-backed loans after the quarter ended. MARA said total debt has fallen by $1.4 billion this year.

CFO Salman Khan said during the earnings call that MARA owns and operates about 1 gigawatt of power capacity. Khan said MARA has a roadmap to expand capacity beyond 4 gigawatts. Khan said MARA has secured the power, partnerships and capital necessary to create long-term value for shareholders. MARA received approval last week to acquire Long Ridge Energy & Power LLC. The acquisition is expected to increase MARA's owned power-generation capacity fourfold. Khan said MARA can use existing bitcoin and cash liquidity to pursue a power development opportunity spanning multiple gigawatts. Management said flexible power assets allow MARA to shift from bitcoin mining toward high-performance computing and AI data centers.

Guggenheim analyst Jonathan Lee reaffirmed a Neutral rating after the results. Rosenblatt analyst Chris Brendler retained a Buy rating but reduced the price target from $15 to $11. Benzinga data show a consensus Buy rating for MARA and an average price target of $17.14.