Bakkt Rated Buy With 44% Upside on Stablecoin Growth Potential: Clear Street

Clear Street initiated coverage of Bakkt (BKKT) with a buy rating and a $14 price target, implying 44% upside after a steep year-to-date decline, the broker said in a research report ￰0￱ shares have fallen over 60% this year versus an 11% gain for the S&P 500 stock ￰1￱ stock was 0.7% higher, around $9.83, in early trading ￰2￱ has shed non-core units like Loyalty and Custody to streamline into a blockchain-native payments platform, trading at just 2.9x projected 2027 EV/EBITDA, the report ￰3￱ business now rests on two pillars: Crypto Services for institutions and its Digital Transfer and Remittance (DTR) platform, which builds stablecoin payment ￰4￱ strong regulatory footing, a lean cost structure, and higher-margin stablecoin rails, Bakkt is positioned to capture share in the $190 trillion cross-border payments market, analysts led by Brian Dobson ￰5￱ Street projects 14% annual revenue growth through 2027, with DTR driving both scale and ￰6￱ broker noted that stablecoin transactions offer nearly double the margin of crypto services, pushing gross profit growth at 66% ￰7￱ EBITDA is expected to turn positive by early 2026 and hit $49 million in 2027, supported by a $60 million cost ￰8￱ is slated to launch in 36 countries by late 2025 and expand to 90-plus in 2026, with transaction volume forecast to reach $2.6 billion by 2027, the analysts wrote.

Bakkt’s institutional-first model avoids reliance on retail crypto adoption, targeting regulated partners like remittance firms and neobanks, the broker said, and Its BitLicense and 50-plus state money transmitter licenses provide one of the strongest compliance frameworks in the U. S., enabling rapid ￰9￱ high-margin stablecoin flows, operating leverage, and a re-rating to peer multiples, Clear Street sees Bakkt as an underappreciated stablecoin infrastructure play with material ￰10￱ broker Benchmark initiated coverage of Bakkt with a buy rating and a $13 target on ￰11￱ more: Bakkt Reboots With Fresh Strategy; Initiate at Buy with $13 Price Target: Benchmark