Investors Purchase High Volume of Gemini Space Station Call Options (NASDAQ:GEMI)

Key Points

• Unusually heavy call-option buying hit Gemini Space Station, with investors purchasing 8,216 call options on Friday, about 118% above the stock’s average call volume. That suggests traders are positioning for further upside.
• Shares of NASDAQ:GEMI rose 7.6% to $5.66 on very high trading volume, but the stock remains far below its 52-week high of $45.89. The company’s market cap is about $678.9 million.
• Gemini’s latest quarterly results were mixed but improved, as revenue rose 38.3% year over year to $50.27 million while EPS came in at a smaller-than-expected loss of $0.93. The company also secured a $100 million strategic investment from Winklevoss Capital Fund, though litigation risks continue to hang over the stock.

Gemini Space Station, Inc. (NASDAQ:GEMI - Get Free Report) saw unusually large options trading on Friday. Stock investors acquired 8,216 call options on the stock. This is an increase of 118% compared to the average volume of 3,769 call options.

Gemini Space Station Trading Up 7.6%

Gemini Space Station stock traded up $0.40 during mid-day trading on Friday, hitting $5.66. 16,207,753 shares of the company's stock were exchanged, compared to its average volume of 1,895,652. The stock has a market cap of $678.90 million and a P/E ratio of -1.87. Gemini Space Station has a 1-year low of $3.91 and a 1-year high of $45.89. The stock has a 50 day moving average of $5.49 and a two-hundred day moving average of $8.91.

Gemini Space Station (NASDAQ:GEMI - Get Free Report) last posted its earnings results on Thursday, May 14th. The company reported ($0.93) EPS for the quarter, missing the consensus estimate of ($0.90) by ($0.03). The business had revenue of $50.27 million for the quarter. The company's revenue for the quarter was up 38.3% compared to the same quarter last year. As a group, research analysts predict that Gemini Space Station will post -3.56 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on GEMI. Mizuho dropped their target price on Gemini Space Station from $26.00 to $12.00 and set an "outperform" rating on the stock in a research report on Monday, March 23rd. Rosenblatt Securities lowered their target price on shares of Gemini Space Station from $11.50 to $9.00 and set a "buy" rating on the stock in a research report on Tuesday, March 24th. Needham & Company LLC lowered their target price on shares of Gemini Space Station from $10.00 to $8.00 and set a "buy" rating on the stock in a research report on Monday, March 23rd. Truist Financial downgraded shares of Gemini Space Station from a "buy" rating to a "hold" rating and set a $7.00 target price on the stock. in a research report on Tuesday, February 17th. Finally, Cantor Fitzgerald reissued a "neutral" rating and set a $8.00 target price (down from $14.00) on shares of Gemini Space Station in a research report on Wednesday, February 18th. Three equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Gemini Space Station presently has an average rating of "Hold" and an average target price of $12.52.

Gemini Space Station News Roundup

Here are the key news stories impacting Gemini Space Station this week:

• Positive Sentiment: Gemini reported first-quarter results that were better than feared, with a narrower-than-expected loss of $0.93 per share versus estimates of a $1.07 loss, while revenue climbed 38% to 42% year over year, signaling improving operating momentum. Article Title
• Positive Sentiment: The company secured a $100 million strategic investment from Winklevoss Capital Fund, which strengthens liquidity and supports Gemini’s push to expand beyond core crypto trading into a broader “markets” platform. Article Title
• Positive Sentiment: Heavy call-option buying and premarket momentum suggest traders are positioning for further upside after the earnings and financing update. Article Title
• Neutral Sentiment: Multiple law firms continue to publicize securities class action claims tied to Gemini’s IPO disclosures, adding an overhang for investors but not changing the near-term business outlook by itself. Article Title
• Negative Sentiment: The litigation risk remains significant, with allegations that IPO documents concealed a corporate pivot and executive turmoil; these headlines could limit enthusiasm if investors refocus on legal exposure and the stock’s still-deep decline from its IPO level. Article Title

Insiders Place Their Bets

In other Gemini Space Station news, Director Sachin Chand Jaitly sold 39,708 shares of the company's stock in a transaction dated Wednesday, March 11th. The stock was sold at an average price of $8.92, for a total value of $354,195.36. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink.

Institutional Investors Weigh In On Gemini Space Station

Hedge funds have recently bought and sold shares of the company. Apollon Wealth Management LLC bought a new stake in Gemini Space Station during the first quarter valued at about $44,000. SBI Securities Co. Ltd. bought a new stake in Gemini Space Station during the third quarter valued at about $51,000. Caitong International Asset Management Co. Ltd bought a new stake in Gemini Space Station during the fourth quarter valued at about $88,000. Engineers Gate Manager LP bought a new stake in Gemini Space Station during the fourth quarter valued at about $100,000. Finally, National Bank of Canada FI bought a new stake in Gemini Space Station during the third quarter valued at about $123,000.

Gemini Space Station Company Profile

Our mission is to unlock the next era of financial, creative, and personal freedom. Gemini envisions a future where crypto will redesign the global financial system, the internet, and money in a way that provides greater choice, independence, and opportunity for all. As a trusted bridge between the traditional financial system and the emerging cryptoeconomy, we are providing access for individuals and institutions to a decentralized future that is more open, fair, and secure. Gemini was founded in 2014 to be the most trusted, secure, and easy way to buy, sell, and store crypto assets.

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.