Wall Street Zen Downgrades Bakkt (NYSE:BKKT) to Sell

Key Points

• Bakkt has been downgraded from a "hold" rating to a "sell" rating by Wall Street Zen, signaling potential concerns over its stock performance.
• The company reported a quarterly earnings loss of ($2.16) per share, significantly missing analysts' expectations and reflecting ongoing financial challenges.
• Insider transactions have occurred, with CEO Andrew A. Main recently selling shares, representing a 3.23% decrease in their ownership of the company.

Bakkt (NYSE:BKKT - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued to clients and investors on Saturday.

Bakkt Stock Down 2.4%

Shares of NYSE BKKT traded down $0.2020 during midday trading on Friday, reaching $8.3080. 813,269 shares of the stock were exchanged, compared to its average volume of 1,769,866. The firm has a market cap of $115.56 million, a price-to-earnings ratio of -1.88 and a beta of 5.31. Bakkt has a twelve month low of $6.81 and a twelve month high of $37.21. The firm has a 50-day simple moving average of $14.51 and a two-hundred day simple moving average of $12.54.

Bakkt (NYSE:BKKT - Get Free Report) last announced its earnings results on Monday, August 11th. The company reported ($2.16) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.69) by ($1.47). Bakkt had a negative net margin of 0.77% and a negative return on equity of 99.39%. The business had revenue of $577.88 million for the quarter, compared to analysts' expectations of $17.10 million.

Insider Activity

In other news, CEO Andrew A. Main sold 14,440 shares of the stock in a transaction that occurred on Tuesday, July 15th. The stock was sold at an average price of $18.21, for a total transaction of $262,952.40. Following the transaction, the chief executive officer owned 431,963 shares in the company, valued at $7,866,046.23. This trade represents a 3.23% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. In the last 90 days, insiders sold 30,669 shares of company stock worth $558,482. Company insiders own 2.50% 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 the business. Tower Research Capital LLC TRC purchased a new position in shares of Bakkt during the 2nd quarter valued at approximately $56,000. Bank of America Corp DE lifted its position in shares of Bakkt by 914.3% during the 2nd quarter. Bank of America Corp DE now owns 2,982 shares of the company's stock valued at $42,000 after buying an additional 2,688 shares in the last quarter. Invesco Ltd. lifted its position in shares of Bakkt by 21.2% during the 2nd quarter. Invesco Ltd. now owns 25,553 shares of the company's stock valued at $356,000 after buying an additional 4,473 shares in the last quarter. New York State Common Retirement Fund purchased a new position in Bakkt in the 2nd quarter valued at $106,000. Finally, JPMorgan Chase & Co. lifted its holdings in Bakkt by 3,275.7% in the 2nd quarter. JPMorgan Chase & Co. now owns 2,498 shares of the company's stock valued at $35,000 after purchasing an additional 2,424 shares in the last quarter. Hedge funds and other institutional investors own 11.11% of the company's stock.

About Bakkt

Bakkt Holdings, Inc offers software as a service and application programming interface solutions for crypto and loyalty, powering engagement, and performance. The company operates Bakkt Marketplace, a platform that enables consumers to buy, sell, and store crypto in an embedded web experience; Bakkt Crypto, a platform that supports clients with a range of crypto solutions; and Bakkt Trust, institutional-grade qualified custody solution for market participants.