American Bitcoin (NASDAQ:ABTC) Shares Down 5.2% - Here's What Happened

Key Points

• American Bitcoin shares were trading down 5.2% midday to about $1.1750 (intraday low $1.19) on Monday, with roughly 2.53 million shares changing hands — an ~82% drop from its average session volume.
• The company reported a quarterly EPS of −$0.07, missing the $0.02 consensus and posting revenue of $78.3M versus estimates of $79.6M, leaving negative margins and a negative return on equity.
• Analyst coverage is mixed (two Buy, two Sell) with a consensus rating of "Hold" and a $4.00 price target, while insiders bought ~2.2M shares recently and now own about 15% of the company.

American Bitcoin Corp. (NASDAQ:ABTC - Get Free Report)'s share price traded down 5.2% during mid-day trading on Monday . The stock traded as low as $1.19 and last traded at $1.1750. 2,525,112 shares traded hands during mid-day trading, a decline of 82% from the average session volume of 14,197,243 shares. The stock had previously closed at $1.24.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the stock. Zacks Research downgraded shares of American Bitcoin from a "hold" rating to a "strong sell" rating in a research note on Friday, March 27th. Weiss Ratings reiterated a "sell (d)" rating on shares of American Bitcoin in a research note on Friday, March 27th. Finally, HC Wainwright initiated coverage on shares of American Bitcoin in a research note on Monday, February 2nd. They set a "buy" rating and a $4.00 price target on the stock. Two investment analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, American Bitcoin currently has an average rating of "Hold" and a consensus price target of $4.00.

American Bitcoin Price Performance

The stock's 50 day simple moving average is $1.04 and its two-hundred day simple moving average is $2.34. The stock has a market cap of $1.24 billion, a price-to-earnings ratio of -1.35 and a beta of 3.75.

American Bitcoin (NASDAQ:ABTC - Get Free Report) last posted its quarterly earnings results on Friday, March 27th. The company reported ($0.07) earnings per share for the quarter, missing analysts' consensus estimates of $0.02 by ($0.09). The business had revenue of $78.32 million for the quarter, compared to analyst estimates of $79.64 million. American Bitcoin had a negative return on equity of 22.09% and a negative net margin of 46.41%. As a group, analysts predict that American Bitcoin Corp. will post 0.01 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Richard Busch acquired 240,000 shares of the business's stock in a transaction on Tuesday, March 3rd. The stock was bought at an average cost of $0.96 per share, with a total value of $230,400.00. Following the completion of the acquisition, the director owned 1,240,975 shares in the company, valued at $1,191,336. The trade was a 23.98% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Justin Mateen acquired 1,800,000 shares of the business's stock in a transaction on Tuesday, March 3rd. The shares were bought at an average cost of $1.03 per share, with a total value of $1,854,000.00. Following the completion of the acquisition, the director owned 2,524,975 shares of the company's stock, valued at approximately $2,600,724.25. This trade represents a 248.28% increase in their position. The SEC filing for this purchase provides additional information. Over the last three months, insiders have acquired 2,198,000 shares of company stock valued at $2,266,100. Company insiders own 15.00% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in ABTC. Solari Capital Management LLC bought a new position in shares of American Bitcoin during the third quarter valued at $317,612,000. Charles Schwab Investment Management Inc. bought a new position in shares of American Bitcoin during the fourth quarter valued at $5,285,000. Providence Capital Advisors LLC bought a new position in shares of American Bitcoin during the fourth quarter valued at $4,244,000. State Street Corp lifted its holdings in shares of American Bitcoin by 3,933.2% during the fourth quarter. State Street Corp now owns 2,392,690 shares of the company's stock valued at $4,068,000 after acquiring an additional 2,333,365 shares during the period. Finally, Geode Capital Management LLC bought a new position in shares of American Bitcoin during the fourth quarter valued at $2,773,000. 10.21% of the stock is owned by institutional investors.

American Bitcoin Company Profile

Gryphon Digital Mining is an innovative venture in the bitcoin space. Gryphon Digital Mining, formerly known as Akerna Corp., is based in DENVER.

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