Bakkt (NYSE:BKKT) Announces Earnings Results, Beats Expectations By $0.10 EPS

Bakkt (NYSE:BKKT) posted its quarterly earnings data on Monday. The company reported $0.31 EPS for the quarter, topping the consensus estimate of $0.21 by $0.10, FiscalAI reports. Bakkt had a negative net margin of 0.21% and a negative return on equity of 25.08%. The company had revenue of $149.20 million during the quarter, compared to analyst estimates of $434.50 million.

Here are the key takeaways from Bakkt’s conference call:

• Third-quarter Total Transacting Volume fell to $147.9 million from $168.8 million in Q2. Management’s $3 billion full-year target implies about $2.44 billion in Q4, making timely client activations and sustained usage critical to a steep ramp.
• Bakkt also set a first-half 2027 TTV target of approximately $6 billion, based on its existing integration pipeline and expected growth in client activity. A monthly Bakkt Engine Report is due to begin in December, providing actual volume and its drivers.
• Revenue was $149.2 million, down from $402.2 million a year earlier. GAAP net income of $14.3 million included a $26.8 million non-cash gain on Transchem warrants, while the operating loss was $14.4 million.
• Cost discipline improved results: operating expenses excluding crypto costs and execution fees fell 40% year over year, and adjusted EBITDA loss narrowed to $11.8 million from $14.8 million. Bakkt ended the quarter with $37.3 million in cash and restricted cash and no long-term debt.
• Payment-rail monthly active users were 9,760 in September, the first reported month, against a December target of about 25,000. The company cited a network spanning more than 75 countries and growth opportunities in embedded finance, India, and Japan, though launches and adoption remain subject to partner, regulatory, and other requirements.

Bakkt Stock Performance

Shares of BKKT traded up $0.05 during mid-day trading on Wednesday, hitting $4.22. 149,437 shares of the company were exchanged, compared to its average volume of 1,455,765. The company has a 50 day moving average of $6.75 and a 200-day moving average of $8.48. The stock has a market cap of $190.15 million, a price-to-earnings ratio of 9.41 and a beta of 4.70. Bakkt has a 1-year low of $3.86 and a 1-year high of $22.80.

Insider Activity

In related news, Director Michael Alfred purchased 296,567 shares of the company’s stock in a transaction dated Tuesday, August 18th. The stock was acquired at an average cost of $7.12 per share, for a total transaction of $2,111,557.04. Following the completion of the transaction, the director directly owned 1,201,567 shares of the company’s stock, valued at approximately $8,555,157.04. This trade represents a 32.77% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 10.05% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

BKKT has been the topic of a number of analyst reports. Weiss Ratings cut Bakkt from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Friday, October 30th. Wall Street Zen upgraded shares of Bakkt from a “sell” rating to a “hold” rating in a report on Saturday, August 15th. Finally, Benchmark lowered their price objective on shares of Bakkt from $19.00 to $12.00 and set a “buy” rating for the company in a research note on Wednesday, August 12th. One investment analyst has rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $12.00.

About Bakkt

Bakkt Holdings, Inc. is a digital-asset services company that provides cryptocurrency infrastructure for businesses and institutions. Its platform is designed to support crypto custody, trading and onramp services, enabling customers to buy, sell, hold and transfer digital assets through integrated technology. The company serves financial institutions, fintech companies, brands and other businesses seeking to offer cryptocurrency-related products without building the underlying infrastructure themselves.