American Bitcoin (NASDAQ:ABTC) Shares Gap Up - Here's What Happened

Key Points

• American Bitcoin (ABTC) shares gapped up, opening at $1.21 after a $1.13 close and last trading at $1.3850 on about 3.98 million shares.
• Analysts are split — HC Wainwright initiated coverage with a Buy and $4 target while Weiss and Zacks issued Sell/downgrade recommendations, leaving a MarketBeat consensus rating of Hold and a $4.00 target.
• The company missed quarterly estimates (EPS $(0.07) vs. $0.02 est.; revenue $78.32M vs. $79.64M) and shows negative profitability, yet insiders bought roughly 2.2M shares recently (Justin Mateen purchased 1.8M), with insiders owning about 15% of the stock.

American Bitcoin Corp. (NASDAQ:ABTC - Get Free Report) shares gapped up before the market opened on Friday . The stock had previously closed at $1.13, but opened at $1.21. American Bitcoin shares last traded at $1.3850, with a volume of 3,976,308 shares changing hands.

Analyst Upgrades and Downgrades

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

American Bitcoin Stock Performance

The company's fifty day moving average is $1.03 and its two-hundred day moving average is $2.64. The company has a market cap of $1.39 billion, a price-to-earnings ratio of -1.51 and a beta of 3.75.

American Bitcoin (NASDAQ:ABTC - Get Free Report) last issued its quarterly earnings results on Friday, March 27th. The company reported ($0.07) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.09). The business had revenue of $78.32 million during 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%. On average, sell-side analysts anticipate that American Bitcoin Corp. will post -0.76 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Justin Mateen acquired 1,800,000 shares of the company's stock in a transaction dated Tuesday, March 3rd. The shares were acquired at an average price of $1.03 per share, with a total value of $1,854,000.00. Following the purchase, the director directly owned 2,524,975 shares of the company's stock, valued at $2,600,724.25. This trade represents a 248.28% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, Director Richard Busch acquired 68,000 shares of the company's stock in a transaction dated Thursday, March 5th. The shares were purchased at an average cost of $1.15 per share, for a total transaction of $78,200.00. Following the purchase, the director directly owned 1,398,975 shares in the company, valued at approximately $1,608,821.25. This trade represents a 5.11% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have bought a total of 2,198,000 shares of company stock worth $2,266,100 in the last ninety days. Corporate insiders own 15.00% of the company's stock.

Institutional Investors Weigh In On American Bitcoin

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

About American Bitcoin

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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