Key Points
- Director buying: Fold director Bracebridge Young, Jr. bought 10,000 shares at $1.03 each, spending $10,300 and increasing his stake by nearly 25%. The purchase was disclosed in an SEC filing.
- Stock and earnings remain weak: Fold shares were down 1.4% to about $1.00, near the stock’s 12-month low. The company also reported a wider-than-expected quarterly loss and revenue that missed analyst estimates.
- Growth plans face uncertainty: Fold has been promoting a new Bitcoin rewards credit card and a $150 million credit facility to support it, but later retracted the financing announcement. That leaves questions about how fully funded the expansion effort is.
Fold Holdings, Inc. (NASDAQ:FLD - Get Free Report) Director Bracebridge Young, Jr. purchased 10,000 shares of the business's stock in a transaction that occurred on Wednesday, May 27th. The stock was bought at an average cost of $1.03 per share, for a total transaction of $10,300.00. Following the acquisition, the director owned 50,100 shares in the company, valued at approximately $51,603. The trade was a 24.94% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website.
Fold Trading Down 1.4%
Shares of NASDAQ FLD opened at $1.00 on Friday. The company has a market cap of $50.59 million, a price-to-earnings ratio of -0.93 and a beta of 0.39. Fold Holdings, Inc. has a 12-month low of $0.93 and a 12-month high of $5.30. The stock's 50 day simple moving average is $1.31 and its 200 day simple moving average is $1.95.
Fold (NASDAQ:FLD - Get Free Report) last announced its quarterly earnings results on Tuesday, May 12th. The company reported ($0.59) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.16) by ($0.43). The company had revenue of $5.59 million during the quarter, compared to the consensus estimate of $10.00 million. Fold had a negative return on equity of 90.99% and a negative net margin of 164.63%. As a group, equities analysts forecast that Fold Holdings, Inc. will post -0.64 earnings per share for the current fiscal year.
Trending Headlines about Fold
Here are the key news stories impacting Fold this week:
- Positive Sentiment: Fold said it is rolling out a new Bitcoin rewards credit card, which could support user growth and increase engagement inside its app if adoption picks up. CORRECTION: Fold Rolls Out New Bitcoin Rewards Credit Card
- Positive Sentiment: The company also announced a $150 million credit facility to help scale its Bitcoin rewards card program, which would provide growth capital if the financing remains intact. Fold Secures $150 million Credit Facility to Scale Bitcoin Rewards Credit Card Program
- Neutral Sentiment: A director bought 10,000 shares at about $1.03, a sign of insider confidence, though the dollar amount was relatively small.
- Neutral Sentiment: The CEO also sold shares on two recent trading days, but the company said those sales were to cover tax withholding tied to equity vesting, which makes them less concerning than a discretionary sale.
- Negative Sentiment: Fold later retracted its credit facility announcement, leaving financing unclear and raising questions about whether the growth capital it highlighted is fully secured. Fold Holdings Retracts Credit Facility Announcement, Financing Uncertain
Wall Street Analyst Weigh In
Several brokerages recently issued reports on FLD. Cantor Fitzgerald cut their price target on Fold from $2.00 to $1.70 and set an "overweight" rating on the stock in a report on Wednesday, May 13th. Northland Securities set a $3.50 target price on shares of Fold in a research report on Wednesday, May 13th. Wall Street Zen upgraded shares of Fold from a "strong sell" rating to a "sell" rating in a research report on Saturday, April 18th. Finally, HC Wainwright decreased their target price on shares of Fold from $7.00 to $3.00 and set a "buy" rating for the company in a research report on Wednesday, March 18th. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $2.73.
Read Our Latest Stock Analysis on Fold
Institutional Trading of Fold
Several hedge funds have recently added to or reduced their stakes in the business. Aptus Capital Advisors LLC bought a new stake in Fold during the 3rd quarter valued at $39,000. SevenBridge Financial Group LLC bought a new stake in Fold during the 3rd quarter valued at $39,000. Barclays PLC bought a new stake in Fold during the 4th quarter valued at $26,000. Vontobel Holding Ltd. raised its stake in Fold by 12.6% during the 4th quarter. Vontobel Holding Ltd. now owns 90,223 shares of the company's stock valued at $235,000 after acquiring an additional 10,118 shares in the last quarter. Finally, Goldman Sachs Group Inc. bought a new stake in Fold during the 4th quarter valued at $28,000. Institutional investors own 56.89% of the company's stock.
About Fold
(
Get Free Report)
Fold, trading under the ticker FLD on the NASDAQ, is a financial technology company specializing in bitcoin rewards and cryptocurrency-based consumer products. The company's core offering enables users to earn bitcoin on everyday purchases through a prepaid Visa debit card, converting traditional currency transactions into bitcoin rewards at no extra cost. By partnering with major payment networks and merchant platforms, Fold aims to bridge the gap between mainstream spending and digital asset adoption.
Beyond the debit card, Fold offers a mobile application that integrates with the Bitcoin Lightning Network to facilitate faster and more cost-efficient transactions.
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