Clear Street initiates Bakkt stock with Buy rating, sees 44% upside

Published 10/09/2025, 09:20
© Pavlo Gonchar / SOPA Images/Sipa via Reuters Connect

Investing.com - Clear Street initiated coverage on Bakkt Holdings Inc (NYSE:BKKT) with a Buy rating and a price target of $14.00, representing 44% upside potential. According to InvestingPro data, the stock has shown strong momentum with a 13% gain over the past week, though its financial health score remains fair at 1.96 out of 5.

The research firm’s positive outlook comes despite Bakkt stock declining 63% year-to-date, compared to the S&P 500’s 11% gain during the same period.

Clear Street views the risk-reward profile as favorable, noting that Bakkt is divesting non-core businesses including Loyalty and Custody operations while repositioning as a blockchain-native payments platform.

The company operates through two main segments: Crypto Services for institutional clients and its newer Digital Transfer and Remittance platform focused on stablecoin payment infrastructure.

Clear Street believes Bakkt shares are undervalued at 2.9x estimated 2027 EV/EBITDA and sees the company as well-positioned to capture market share in the $190 trillion global cross-border payments market.

In other recent news, Bakkt Holdings Inc. reported its financial results for the second quarter of 2025, revealing a year-over-year revenue increase despite facing challenges in the crypto market. The company highlighted a significant sequential revenue decline, which underscores the difficulties it is navigating in the current landscape. Furthermore, Bakkt is undergoing a strategic shift to focus on crypto infrastructure, having acquired approximately 30% of Marusho Hotta Co., Ltd. (MHT), a company listed on the Tokyo Stock Exchange. Phillip Lord, President of Bakkt International, has taken on the role of Chief Executive Officer at MHT, with a shareholder meeting expected in October 2025 to discuss potential changes.

In other developments, Bakkt has divested its custody business and is in the process of selling its legacy loyalty business as part of its restructuring efforts. Benchmark has initiated coverage on Bakkt with a Buy rating and set a $13.00 price target, citing the company’s streamlined focus and adjusted growth trajectory. These recent activities highlight Bakkt’s ongoing efforts to adapt and position itself in a rapidly evolving market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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