Brokerages Rate Bitcoin Depot Inc. as “Moderate Buy” Amid Market Moves

Bitcoin Depot Inc. (NASDAQ:BTM) has received a consensus recommendation of “Moderate Buy” from seven research firms covering the company, according to Marketbeat.com. This analysis reflects a mix of perspectives, with one analyst issuing a sell rating, one recommending hold, four advocating for buy, and one assigning a strong buy rating.

The average target price for Bitcoin Depot over the next year stands at $5.83. Recent reports from various brokerages have influenced this outlook. Notably, on August 13, 2023, HC Wainwright raised its price target for Bitcoin Depot from $5.00 to $6.50, maintaining a buy rating. Conversely, Weiss Ratings reiterated a “sell (d+)” rating on October 8, while B. Riley increased its target from $5.50 to $6.00 with a buy recommendation on October 2. Additionally, Zacks Research downgraded the stock from a “strong buy” to a “hold” on the same day as the Wainwright upgrade.

Bitcoin Depot shares opened at $2.63 on August 12, 2023, showing a modest increase of 2.3%. The company has a market capitalization of $179.06 million, a price-to-earnings (P/E) ratio of 26.30, and a beta of 0.81. The stock has experienced significant volatility, with a one-year low of $0.93 and a high of $6.88. Its fifty-day moving average is $3.67, while the two-hundred day average stands at $3.73.

In terms of financial performance, Bitcoin Depot reported its quarterly earnings on August 12, posting earnings per share (EPS) of $0.16, which fell short of analysts’ expectations of $0.17 by $0.01. The company generated revenue of $172.11 million for the quarter, surpassing analyst estimates of $168.00 million. Despite this revenue growth, Bitcoin Depot has a net margin of 0.44% and a negative return on equity of 44.12%.

Insider Activity and Institutional Trading

In related news, Chief Operating Officer Christopher Scott Buchanan sold 22,000 shares of the company on August 14 at an average price of $4.21, totaling approximately $92,620.00. Following this sale, Buchanan retains 147,276 shares valued at around $620,031.96, representing a 13% decrease in ownership. This transaction was documented in a legal filing with the U.S. Securities and Exchange Commission (SEC).

Recent trading activity also indicates increased interest from institutional investors. Evergreen Capital Management LLC acquired a new stake in Bitcoin Depot worth approximately $471,000 during the second quarter. Man Group plc invested approximately $84,000, while Lazard Asset Management LLC purchased a stake valued at around $1.15 million. Bank of America Corp DE notably boosted its holdings by 11,320.0%, now owning 9,707 shares worth $49,000 after adding 9,622 shares. Welch Capital Partners LLC NY increased its stake by 33.0%, owning 1,285,190 shares valued at approximately $6.52 million. Overall, institutional investors hold 9.18% of Bitcoin Depot’s stock.

About Bitcoin Depot Inc.

Bitcoin Depot Inc. operates a network of cryptocurrency kiosks across North America, allowing customers to buy and sell major cryptocurrencies like Bitcoin, Litecoin, and Ethereum. The company’s services also include retail sales of cryptocurrency through its BDCheckout product and its website.

As Bitcoin Depot continues to navigate a competitive market, its recent ratings and trading activity highlight the varied perspectives surrounding its future performance.