Bit Digital (NASDAQ:BTBT) Stock Price Down 6.2% - Here's Why

Key Points

• Bit Digital's stock price fell by 6.2% to $2.82, with trading volume dropping significantly to 4.4 million shares, which is 81% lower than its average.
• The company reported revenue of $25.11 million for the last quarter, falling short of the consensus estimate of $26.38 million, contributing to a negative net margin of 77.27%.
• Despite the decline, HC Wainwright maintained a "buy" rating for Bit Digital with a target price of $7.00, indicating potential upside for investors.

Bit Digital, Inc. (NASDAQ:BTBT - Get Free Report) shares were down 6.2% during trading on Tuesday . The company traded as low as $2.89 and last traded at $2.82. Approximately 4,444,467 shares changed hands during trading, a decline of 81% from the average daily volume of 23,220,109 shares. The stock had previously closed at $3.00.

Analyst Upgrades and Downgrades

Separately, HC Wainwright reissued a "buy" rating and set a $7.00 price objective on shares of Bit Digital in a report on Thursday, June 26th.

Bit Digital Stock Down 6.5%

The stock has a market cap of $870.29 million, a PE ratio of -5.79 and a beta of 4.90. The firm has a 50-day simple moving average of $2.82 and a 200-day simple moving average of $2.60.

Bit Digital (NASDAQ:BTBT - Get Free Report) last issued its quarterly earnings data on Thursday, May 15th. The company reported ($0.05) earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of ($0.05). Bit Digital had a negative return on equity of 10.83% and a negative net margin of 77.27%. The company had revenue of $25.11 million for the quarter, compared to the consensus estimate of $26.38 million. On average, research analysts expect that Bit Digital, Inc. will post -0.2 earnings per share for the current year.

Insider Activity

In related news, Director Brock Jeffrey Pierce acquired 500,000 shares of the firm's stock in a transaction dated Wednesday, June 25th. The shares were purchased at an average price of $2.00 per share, for a total transaction of $1,000,000.00. Following the completion of the acquisition, the director owned 500,000 shares in the company, valued at approximately $1,000,000. This represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available at this link. Also, CEO Samir Tabar acquired 750,000 shares of the firm's stock in a transaction dated Wednesday, June 25th. The stock was bought at an average price of $2.00 per share, for a total transaction of $1,500,000.00. Following the acquisition, the chief executive officer owned 2,108,089 shares of the company's stock, valued at approximately $4,216,178. This trade represents a 55.22% increase in their position. The disclosure for this purchase can be found here. 2.32% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Bit Digital

Several large investors have recently made changes to their positions in the business. Redmond Asset Management LLC lifted its holdings in shares of Bit Digital by 4.6% during the second quarter. Redmond Asset Management LLC now owns 271,421 shares of the company's stock valued at $594,000 after purchasing an additional 12,040 shares during the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in Bit Digital by 240.9% in the 2nd quarter. Caitong International Asset Management Co. Ltd now owns 51,819 shares of the company's stock worth $113,000 after acquiring an additional 36,619 shares during the last quarter. Connors Investor Services Inc. raised its holdings in Bit Digital by 32.4% in the 2nd quarter. Connors Investor Services Inc. now owns 90,000 shares of the company's stock worth $197,000 after acquiring an additional 22,000 shares during the last quarter. Ethic Inc. raised its holdings in Bit Digital by 31.8% in the 2nd quarter. Ethic Inc. now owns 19,644 shares of the company's stock worth $39,000 after acquiring an additional 4,739 shares during the last quarter. Finally, Phoenix Financial Ltd. raised its holdings in Bit Digital by 11.4% in the 2nd quarter. Phoenix Financial Ltd. now owns 115,560 shares of the company's stock worth $253,000 after acquiring an additional 11,787 shares during the last quarter. 47.70% of the stock is currently owned by hedge funds and other institutional investors.

About Bit Digital

Bit Digital, Inc, together with its subsidiaries, engages in the bitcoin mining business. It is also involved in the treasury management activities; and digital asset staking and digital asset mining businesses, as well as ethereum staking activities. In addition, it provides specialized cloud-infrastructure services for artificial intelligence applications.