Benchmark Cuts Bakkt Target Price by Nearly 50%, Maintains "Buy" Rating

Odaily News Analysts reiterated a "Buy" rating on Bakkt Holdings on Wednesday but slashed the target price from $40 to $22, a decrease of approximately 50%. Bakkt's stock fell about 5% in early trading on Wednesday, trading at $9.15. Benchmark stated that this adjustment is based on an expectation of Bakkt's adjusted EBITDA reaching $59.5 million. The research report was published the day after Bakkt's first Investor Day.

It is reported that Bakkt is undergoing a strategic transformation, repositioning itself as a "B2B2C" one-stop crypto service operator for traditional institutions. The company sold its loyalty rewards business last year and has begun acquiring money transmitter licenses across all 50 U.S. states to support crypto trading, transfers, and settlements. (The Block)