BTGO (NYSE:BTGO) Trading Down 5.4% - Here's Why

Key Points

• BTGO shares fell 5.4% to about $7.12 in Friday trading, while volume dropped 87% below the average daily level.
• The company reported a quarterly loss of $0.16 per share, missing consensus expectations of a $0.03 loss. Several analysts subsequently lowered their price targets, although the consensus rating remains “Moderate Buy” with a $12.77 average target.
• BTGO authorized a $50 million share-repurchase program, allowing it to buy back up to 7.9% of outstanding shares; meanwhile, its CEO and CFO sold shares to cover tax withholding on vested equity awards.

BTGO (NYSE:BTGO - Get Free Report)'s stock price fell 5.4% on Friday . The company traded as low as $7.10 and last traded at $7.1170. Approximately 164,337 shares were traded during mid-day trading, a decline of 87% from the average daily volume of 1,221,066 shares. The stock had previously closed at $7.52.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on BTGO. Mizuho decreased their price objective on shares of BTGO from $14.00 to $11.00 and set an "outperform" rating for the company in a report on Friday, August 14th. Citigroup dropped their target price on BTGO from $17.00 to $10.00 and set a "buy" rating on the stock in a report on Friday, August 14th. Wall Street Zen lowered BTGO from a "hold" rating to a "sell" rating in a research note on Sunday, May 17th. Canaccord Genuity Group reiterated a "buy" rating and set a $15.00 price target on shares of BTGO in a research report on Friday, August 21st. Finally, Rosenblatt Securities dropped their price objective on BTGO from $15.00 to $10.00 and set a "buy" rating on the stock in a research note on Thursday, August 13th. One equities research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, BTGO has a consensus rating of "Moderate Buy" and an average price target of $12.77.

BTGO Stock Down 3.1%

The stock has a market cap of $856.35 million and a price-to-earnings ratio of -5.03. The company's 50-day simple moving average is $5.56 and its 200-day simple moving average is $7.71.

BTGO (NYSE:BTGO - Get Free Report) last announced its quarterly earnings data on Wednesday, August 12th. The company reported ($0.16) EPS for the quarter, missing analysts' consensus estimates of ($0.03) by ($0.13). The firm had revenue of $4.33 billion during the quarter. As a group, analysts expect that BTGO will post -0.37 EPS for the current fiscal year.

BTGO announced that its Board of Directors has initiated a share repurchase program on Wednesday, June 17th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the company to repurchase up to 7.9% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's leadership believes its shares are undervalued.

Insider Buying and Selling at BTGO

In other BTGO news, CEO Michael Belshe sold 38,691 shares of the business's stock in a transaction dated Friday, July 24th. The stock was sold at an average price of $4.89, for a total transaction of $189,198.99. Following the sale, the chief executive officer owned 798,464 shares in the company, valued at approximately $3,904,488.96. The trade was a 4.62% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Edward Reginelli sold 9,021 shares of the company's stock in a transaction dated Friday, July 24th. The shares were sold at an average price of $4.89, for a total transaction of $44,112.69. Following the sale, the chief financial officer directly owned 582,489 shares of the company's stock, valued at $2,848,371.21. This represents a 1.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 48,464 shares of company stock valued at $237,096.

Institutional Investors Weigh In On BTGO

An institutional investor recently bought a new position in BTGO stock. ParaFi Capital LP acquired a new position in BTGO (NYSE:BTGO - Free Report) in the second quarter, according to the company in its most recent disclosure with the SEC. The firm acquired 374,400 shares of the company's stock, valued at approximately $1,939,000. BTGO accounts for 0.6% of ParaFi Capital LP's investment portfolio, making the stock its 13th largest position. ParaFi Capital LP owned about 0.32% of BTGO at the end of the most recent reporting period.

About BTGO

BitGo Holdings Inc is the digital asset infrastructure company delivering custody, wallets, staking, trading, financing, stablecoins and settlement services from regulated cold storage. BitGo Holdings Inc is based in NEW YORK.

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