Bakkt (NYSE:BKKT) Announces Quarterly Earnings Results, Misses Expectations By $0.31 EPS

Bakkt (NYSE:BKKT) posted its quarterly earnings results on Monday. The company reported ($0.41) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.31), FiscalAI reports. The company had revenue of $243.59 million for the quarter, compared to the consensus estimate of $297.94 million. Bakkt had a negative return on equity of 84.50% and a negative net margin of 4.59%.

Bakkt Trading Up 0.3%

Shares of BKKT stock traded up $0.03 during trading hours on Monday, reaching $9.88. The company’s stock had a trading volume of 2,760,951 shares, compared to its average volume of 1,420,660. Bakkt has a one year low of $6.87 and a one year high of $49.79. The stock has a market capitalization of $302.02 million, a P/E ratio of -1.93 and a beta of 5.85. The firm’s fifty day simple moving average is $8.80 and its 200 day simple moving average is $13.43.

Insiders Place Their Bets

In other news, CFO Karen Alexander sold 4,684 shares of the firm’s stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $9.13, for a total value of $42,764.92. Following the completion of the sale, the chief financial officer directly owned 55,771 shares of the company’s stock, valued at approximately $509,189.23. This trade represents a 7.75% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Marc D’annunzio sold 7,780 shares of Bakkt stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $8.86, for a total transaction of $68,930.80. Following the sale, the general counsel directly owned 110,059 shares in the company, valued at $975,122.74. The trade was a 6.60% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 13,249 shares of company stock valued at $119,616 in the last ninety days. 2.50% of the stock is currently owned by insiders.

Institutional Trading of Bakkt

Several institutional investors and hedge funds have recently bought and sold shares of BKKT. Advisory Services Network LLC purchased a new position in shares of Bakkt during the 3rd quarter worth approximately $30,000. Legal & General Group Plc lifted its stake in shares of Bakkt by 110.7% in the 3rd quarter. Legal & General Group Plc now owns 982 shares of the company’s stock valued at $33,000 after purchasing an additional 516 shares during the period. Northwestern Mutual Wealth Management Co. bought a new stake in shares of Bakkt during the third quarter valued at approximately $41,000. Russell Investments Group Ltd. boosted its position in shares of Bakkt by 759.1% during the third quarter. Russell Investments Group Ltd. now owns 2,036 shares of the company’s stock valued at $69,000 after purchasing an additional 1,799 shares in the last quarter. Finally, BNP Paribas Financial Markets grew its stake in Bakkt by 268.3% in the third quarter. BNP Paribas Financial Markets now owns 2,158 shares of the company’s stock worth $73,000 after purchasing an additional 1,572 shares during the period. 11.11% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several analysts have weighed in on the company. Wall Street Zen downgraded Bakkt from a “sell” rating to a “strong sell” rating in a research report on Saturday, May 2nd. Weiss Ratings downgraded shares of Bakkt from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Wednesday, April 29th. Finally, Benchmark dropped their price target on shares of Bakkt from $40.00 to $22.00 and set a “buy” rating for the company in a research report on Wednesday, March 18th. One investment analyst has rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $22.00.

Bakkt Company Profile

Bakkt Holdings, Inc is a digital asset platform that aims to bridge traditional finance and digital assets by offering institutional-grade custody, trading and settlement services. Established in 2018 by Intercontinental Exchange (ICE), the company initially made headlines with the launch of its physically settled Bitcoin futures contracts in 2019. Since then, Bakkt has expanded its product lineup to include spot trading of cryptocurrencies, a secure digital wallet for retail customers and a payment gateway that enables merchants to accept digital assets alongside fiat currencies.

The company’s core offering centers on its custody infrastructure, which is built to meet robust regulatory and security standards.