Bakkt (NYSE:BKKT) Stock Price Down 3.7% – Here’s Why

Bakkt Holdings, Inc. (NYSE:BKKT) shares traded down 3.7% during trading on Thursday . The company traded as low as $7.57 and last traded at $7.6790. Approximately 731,715 shares were traded during mid-day trading, a decline of 34% from the average session volume of 1,111,819 shares. The stock had previously closed at $7.97.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on BKKT. Weiss Ratings raised shares of Bakkt from a “sell (e+)” rating to a “sell (d-)” rating in a report on Thursday, July 2nd. Wall Street Zen raised Bakkt from a “strong sell” rating to a “sell” rating in a research report on Saturday, May 16th. One equities research analyst has rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $22.00.

Bakkt Stock Performance

The firm has a fifty day simple moving average of $8.93 and a 200-day simple moving average of $10.20. The firm has a market cap of $342.56 million, a price-to-earnings ratio of -5.61 and a beta of 5.89.

Bakkt (NYSE:BKKT) last released its quarterly earnings data on Monday, May 11th. The company reported ($0.41) EPS for the quarter, missing analysts’ consensus estimates of ($0.10) by ($0.31). Bakkt had a negative return on equity of 64.73% and a negative net margin of 8.37%.The company had revenue of $243.59 million for the quarter, compared to the consensus estimate of $297.94 million.

Insider Transactions at Bakkt

In related news, General Counsel Marc D’annunzio sold 7,780 shares of the company’s stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $8.86, for a total value of $68,930.80. Following the transaction, the general counsel owned 110,059 shares in the company, valued at approximately $975,122.74. This represents a 6.60% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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. Also, CFO Karen Alexander sold 4,684 shares of the stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $9.13, for a total transaction of $42,764.92. Following the completion of the transaction, the chief financial officer directly owned 55,771 shares in the company, valued at approximately $509,189.23. This represents a 7.75% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders purchased 865,000 shares of company stock worth $7,018,900. 10.05% of the stock is owned by insiders.

Hedge Funds Weigh In On Bakkt

Several institutional investors and hedge funds have recently made changes to their positions in BKKT. Legal & General Group Plc raised its stake in Bakkt by 110.7% in the 3rd quarter. Legal & General Group Plc now owns 982 shares of the company’s stock worth $33,000 after purchasing an additional 516 shares in the last quarter. Advisory Services Network LLC acquired a new position in shares of Bakkt during the 3rd quarter worth approximately $30,000. Bank of America Corp DE increased its holdings in shares of Bakkt by 39.8% during the third quarter. Bank of America Corp DE now owns 4,169 shares of the company’s stock worth $140,000 after purchasing an additional 1,187 shares during the period. Northwestern Mutual Wealth Management Co. bought a new position in shares of Bakkt during the third quarter worth approximately $41,000. Finally, BNP Paribas Financial Markets increased its holdings in shares of Bakkt by 268.3% during 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. Institutional investors and hedge funds own 11.11% of the company’s stock.

About Bakkt

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.