American Bitcoin (NASDAQ:ABTC) Stock Price Up 11.4% - Still a Buy?

Key Points

• Price action: American Bitcoin (NASDAQ:ABTC) jumped 11.4% to $0.9710 on Wednesday (it traded as high as $0.9580) on about 4.86 million shares, a 63% decline versus its average daily volume.
• Analyst split and target: Analysts are evenly split (two Buy, two Sell), yielding an average rating of Hold and an average price target of $4.00, far above the current market price.
• Fundamentals vs. insider buying: The company missed EPS expectations (reported -$0.07 vs. $0.02 expected), has negative margins and a projected -0.76 EPS for the year, yet insiders bought roughly 2.2 million shares in the last 90 days, materially increasing their stakes.

American Bitcoin Corp. (NASDAQ:ABTC - Get Free Report) was up 11.4% on Wednesday . The company traded as high as $0.9580 and last traded at $0.9710. Approximately 4,859,838 shares were traded during trading, a decline of 63% from the average daily volume of 13,208,483 shares. The stock had previously closed at $0.8715.

Analysts Set New Price Targets

A number of equities analysts have issued reports on the company. Zacks Research lowered American Bitcoin from a "hold" rating to a "strong sell" rating in a research report on Friday, March 27th. Roth Mkm initiated coverage on shares of American Bitcoin in a research report on Wednesday, December 10th. They set a "buy" rating and a $4.00 price target for the company. HC Wainwright initiated coverage on shares of American Bitcoin in a research note on Monday, February 2nd. They issued a "buy" rating and a $4.00 price target for the company. Finally, Weiss Ratings reaffirmed a "sell (d)" rating on shares of American Bitcoin in a report on Friday, March 27th. Two investment 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, the stock has an average rating of "Hold" and an average price target of $4.00.

American Bitcoin Stock Up 13.6%

The company has a 50 day simple moving average of $1.09 and a 200-day simple moving average of $2.87. The stock has a market cap of $1.05 billion, a price-to-earnings ratio of -1.14 and a beta of 3.75.

American Bitcoin (NASDAQ:ABTC - Get Free Report) last issued its earnings results on Friday, March 27th. The company reported ($0.07) EPS for the quarter, missing the consensus estimate of $0.02 by ($0.09). American Bitcoin had a negative return on equity of 22.09% and a negative net margin of 46.41%.The firm had revenue of $78.32 million during the quarter, compared to analyst estimates of $79.64 million. On average, equities research analysts expect that American Bitcoin Corp. will post -0.76 EPS for the current fiscal year.

Insiders Place Their Bets

In other American Bitcoin news, Director Richard Busch acquired 240,000 shares of the firm's stock in a transaction on Tuesday, March 3rd. The stock was purchased at an average price of $0.96 per share, with a total value of $230,400.00. Following the completion of the acquisition, the director directly owned 1,240,975 shares in the company, valued at $1,191,336. This trade represents a 23.98% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Justin Mateen bought 1,800,000 shares of the stock in a transaction on 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 owned 2,524,975 shares of the company's stock, valued at $2,600,724.25. The trade was a 248.28% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last ninety days, insiders acquired 2,198,000 shares of company stock valued at $2,266,100. 15.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On American Bitcoin

A number of institutional investors have recently modified their holdings of ABTC. Solari Capital Management LLC bought a new position in American Bitcoin in the third quarter worth about $317,612,000. Charles Schwab Investment Management Inc. bought a new position in shares of American Bitcoin during the fourth quarter valued at approximately $5,285,000. Providence Capital Advisors LLC bought a new position in shares of American Bitcoin during the fourth quarter valued at approximately $4,244,000. State Street Corp raised 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 worth $4,068,000 after purchasing an additional 2,333,365 shares during the period. Finally, Geode Capital Management LLC acquired a new stake in shares of American Bitcoin during the 4th quarter worth approximately $2,773,000. Institutional investors own 10.21% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.