Bakkt (NYSE:BKKT) Shares Down 9.1% - Should You Sell?

Key Points

• Bakkt Holdings, Inc. (NYSE:BKKT) shares fell by 9.1% to a last traded price of $32.07, with trading volume dropping by 50% compared to its average.
• Analysts have downgraded Bakkt's rating from "hold" to "sell," while one firm set a price target of $13.00, reflecting overall cautious sentiment from the market.
• The company reported a significant earnings miss with a loss of ($2.16) per share against an expectation of ($0.69), despite achieving revenue of $577.88 million.

Shares of Bakkt Holdings, Inc. (NYSE:BKKT - Get Free Report) were down 9.1% on Tuesday . The company traded as low as $31.39 and last traded at $32.07. Approximately 2,265,754 shares traded hands during trading, a decline of 50% from the average daily volume of 4,519,524 shares. The stock had previously closed at $35.29.

Analyst Ratings Changes

A number of research analysts have weighed in on BKKT shares. Wall Street Zen cut shares of Bakkt from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. Weiss Ratings restated a "sell (e+)" rating on shares of Bakkt in a report on Tuesday, October 14th. Finally, Benchmark initiated coverage on shares of Bakkt in a report on Monday, September 8th. They issued a "buy" rating and a $13.00 price target on the stock. One equities research analyst has rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Bakkt presently has an average rating of "Hold" and an average target price of $13.00.

Bakkt Price Performance

The stock's fifty day moving average price is $19.62 and its 200 day moving average price is $15.13. The stock has a market capitalization of $691.00 million, a P/E ratio of -7.24 and a beta of 5.88.

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

Insiders Place Their Bets

In other Bakkt news, CEO Akshay Sudhir Naheta acquired 30,000 shares of the stock in a transaction that occurred on Friday, August 22nd. The stock was bought at an average cost of $8.55 per share, with a total value of $256,500.00. Following the completion of the purchase, the chief executive officer directly owned 191,426 shares in the company, valued at $1,636,692.30. The trade was a 18.58% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 2.50% of the stock is currently owned by company insiders.

Institutional Trading of Bakkt

A number of hedge funds have recently added to or reduced their stakes in the business. Geode Capital Management LLC lifted its stake in Bakkt by 33.1% in the second quarter. Geode Capital Management LLC now owns 247,177 shares of the company's stock worth $3,448,000 after acquiring an additional 61,408 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Bakkt by 11.8% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 94,734 shares of the company's stock valued at $821,000 after buying an additional 10,018 shares during the last quarter. Invesco Ltd. lifted its position in shares of Bakkt by 21.2% during the second quarter. Invesco Ltd. now owns 25,553 shares of the company's stock valued at $356,000 after buying an additional 4,473 shares during the last quarter. OMERS ADMINISTRATION Corp purchased a new stake in shares of Bakkt during the first quarter valued at about $210,000. Finally, Delta Investment Management LLC lifted its position in shares of Bakkt by 15.6% during the third quarter. Delta Investment Management LLC now owns 13,151 shares of the company's stock valued at $443,000 after buying an additional 1,774 shares during the last quarter. 11.11% of the stock is owned by hedge funds and other institutional investors.

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.

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