Eric Trump-Backed American Bitcoin Jumps After Revenue More Than Doubles Estimates

Shares of American Bitcoin Corp. jumped as much as10% in pre-market trading following fourth quarter revenue that more than doubled Wall Street’s expectations.

• The company reported $185.2 million in fourth-quarter revenue, as compared to Wall Street’s forecast of $80 million.
• American Bitcoin posted a net loss driven by a large non-cash Bitcoin accounting adjustment.
• Retail sentiment around ABTC’s stock on Stocktwits surged to ‘extremely bullish’ from ‘extremely bearish’ a week ago.

Shares of Eric Trump-backed American Bitcoin Corp. (ABTC) jumped in early morning trade on Thursday after reporting fourth quarter (Q4) revenue that was more than double Wall Street estimates.

ABTC’s stock rocketed as much as 10% in pre-market trade, with retail sentiment on Stocktwits surging to ‘extremely bullish’ from ‘extremely bearish’ a week ago. Chatter remained at ‘high’ levels over the past day.

 

Revenue More Than Doubles Wall Street Forecasts

Analysts on Wall Street were expecting American Bitcoin to report revenue of around $80 million, according to Koyfin data. Instead, the company reported $185.2 million in revenue, a 22% increase quarter over quarter.

Investors seemed unfazed by the company's reported net loss of $153.2 million, even though estimates had called for a $44 million profit. Adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) came at a loss of $157.3 million, versus the expected $33 million.