American Bitcoin (NASDAQ:ABTC) Trading 7% Higher - Should You Buy?

Key Points

• American Bitcoin shares rose 7% to about $8.42 in mid-day trading, although volume was 79% below the average daily level.
• Analyst sentiment is mixed: three analysts rate the stock Buy, one rates it Hold and one rates it Sell, producing a consensus Hold rating. The consensus price target is $45, while Maxim Group set a $15 target.
• The company remains unprofitable, reporting a quarterly loss of $0.80 per share, $67.01 million in revenue, a negative 71.75% net margin and a negative 29.89% return on equity. Director Justin Mateen nevertheless increased his stake by 49.24% through a purchase of 162,438 shares.

American Bitcoin Corp. (NASDAQ:ABTC - Get Free Report)'s share price traded up 7% during mid-day trading on Thursday . The company traded as high as $8.51 and last traded at $8.4230. 243,519 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 1,139,424 shares. The stock had previously closed at $7.87.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on the company. Weiss Ratings restated a "sell (d)" rating on shares of American Bitcoin in a report on Wednesday, June 24th. Wall Street Zen cut shares of American Bitcoin from a "hold" rating to a "sell" rating in a report on Saturday, August 8th. Finally, Maxim Group set a $15.00 target price on shares of American Bitcoin and gave the stock a "buy" rating in a report on Tuesday, July 21st. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $45.00.

American Bitcoin Stock Performance

The stock's 50-day moving average price is $7.00 and its 200-day moving average price is $12.49. The company has a market capitalization of $668.34 million, a price-to-earnings ratio of -3.02 and a beta of 3.92.

American Bitcoin (NASDAQ:ABTC - Get Free Report) last released its quarterly earnings data on Monday, August 3rd. The company reported ($0.80) earnings per share for the quarter. The firm had revenue of $67.01 million during the quarter. American Bitcoin had a negative net margin of 71.75% and a negative return on equity of 29.89%.

Insider Activity at American Bitcoin

In related news, Director Justin Mateen acquired 162,438 shares of the business's stock in a transaction that occurred on Thursday, August 6th. The stock was purchased at an average cost of $6.19 per share, for a total transaction of $1,005,491.22. Following the transaction, the director directly owned 492,297 shares of the company's stock, valued at approximately $3,047,318.43. This trade represents a 49.24% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 2.57% of the stock is owned by corporate insiders.

Institutional Trading of American Bitcoin

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ABTC. J. Derek Lewis & Associates Inc. raised its position in shares of American Bitcoin by 204.3% in the first quarter. J. Derek Lewis & Associates Inc. now owns 70,000 shares of the company's stock valued at $65,000 after buying an additional 47,000 shares during the last quarter. Yu Fan acquired a new stake in shares of American Bitcoin during the first quarter worth $285,000. Independent Financial Group LLC purchased a new stake in shares of American Bitcoin in the first quarter valued at $93,000. Procyon Advisors LLC lifted its position in American Bitcoin by 310.1% during the first quarter. Procyon Advisors LLC now owns 103,500 shares of the company's stock worth $96,000 after buying an additional 78,264 shares during the period. Finally, Hunter Associates Investment Management LLC acquired a new stake in American Bitcoin in the 1st quarter worth about $117,000. Hedge funds and other 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.

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