Bakkt (NYSE:BKKT) Issues Earnings Results

Bakkt (NYSE:BKKT) released its quarterly earnings data on Monday. The company reported $0.31 EPS for the quarter, beating the consensus estimate of $0.21 by $0.10, FiscalAI reports. Bakkt had a negative net margin of 2.78% and a negative return on equity of 41.11%. The firm had revenue of $149.20 million for the quarter, compared to the consensus estimate of $434.50 million.

Here are the key takeaways from Bakkt’s conference call:

• Third-quarter Total Transacting Volume fell to $147.9 million from $168.8 million in Q2. Management’s $3 billion full-year target implies about $2.44 billion in Q4, making timely client activations and sustained usage critical to a steep ramp.
• Bakkt also set a first-half 2027 TTV target of approximately $6 billion, based on its existing integration pipeline and expected growth in client activity. A monthly Bakkt Engine Report is due to begin in December, providing actual volume and its drivers.
• Revenue was $149.2 million, down from $402.2 million a year earlier. GAAP net income of $14.3 million included a $26.8 million non-cash gain on Transchem warrants, while the operating loss was $14.4 million.
• Cost discipline improved results: operating expenses excluding crypto costs and execution fees fell 40% year over year, and adjusted EBITDA loss narrowed to $11.8 million from $14.8 million. Bakkt ended the quarter with $37.3 million in cash and restricted cash and no long-term debt.
• Payment-rail monthly active users were 9,760 in September, the first reported month, against a December target of about 25,000. The company cited a network spanning more than 75 countries and growth opportunities in embedded finance, India, and Japan, though launches and adoption remain subject to partner, regulatory, and other requirements.

Bakkt Stock Performance

NYSE:BKKT traded up $0.39 during mid-day trading on Monday, hitting $4.69. 1,285,239 shares of the stock were exchanged, compared to its average volume of 1,462,863. The stock has a market capitalization of $211.19 million, a price-to-earnings ratio of 10.41 and a beta of 4.70. The firm’s 50-day simple moving average is $6.88 and its 200 day simple moving average is $8.60. Bakkt has a fifty-two week low of $3.86 and a fifty-two week high of $25.00.

Insider Transactions at Bakkt

In other news, Director Michael Alfred acquired 296,567 shares of the firm’s stock in a transaction on Tuesday, August 18th. The shares were purchased at an average cost of $7.12 per share, with a total value of $2,111,557.04. Following the acquisition, the director directly owned 1,201,567 shares in the company, valued at $8,555,157.04. This represents a 32.77% increase in their position. The purchase was disclosed in a document filed with the SEC, which is accessible through this link. 10.05% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of research firms have recently issued reports on BKKT. Wall Street Zen upgraded shares of Bakkt from a “sell” rating to a “hold” rating in a research note on Saturday, August 15th. Weiss Ratings lowered shares of Bakkt from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Friday, October 30th. Finally, Benchmark decreased their price target on shares of Bakkt from $19.00 to $12.00 and set a “buy” rating on the stock in a research note on Wednesday, August 12th. One research analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $12.00.

Bakkt Company Profile

Bakkt Holdings, Inc is a digital-asset services company that provides cryptocurrency infrastructure for businesses and institutions. Its platform is designed to support crypto custody, trading and onramp services, enabling customers to buy, sell, hold and transfer digital assets through integrated technology.

The company serves financial institutions, fintech companies, brands and other businesses seeking to offer cryptocurrency-related products without building the underlying infrastructure themselves.