Bakkt Rated Buy by Clear Street as Stablecoin Momentum Could Drive 44% Gains

Clear Street has initiated coverage of Bakkt (BKKT) with a buy rating and a $14 price target, implying 44% upside after the stock’s steep year-to-date decline. Bakkt shares traded 0.7% higher at $9.83 in early Wednesday sessions, despite falling over 60% this year versus an 11% gain for the S&P 500.

The company has sold non-core units such as Loyalty and Custody to focus on its blockchain-native payments platform. Bakkt now operates across two key segments: institutional Crypto Services and its Digital Transfer and Remittance (DTR) platform, which builds stablecoin payment infrastructure. Trading at just 2.9x projected 2027 EV/EBITDA, the company is positioned to capture a share of the $190 trillion cross-border payments market, analysts led by Brian Dobson noted.

Clear Street projects 14% annual revenue growth through 2027, with DTR driving scale and profitability. Stablecoin transactions offer nearly double the margins of crypto services, supporting 66% annual gross profit growth. Adjusted EBITDA is expected to turn positive by early 2026, reaching $49 million in 2027 following a $60 million cost reset. DTR is slated to expand to 36 countries by late 2025 and over 90 by 2026, with transaction volume forecast at $2.6 billion by 2027.

Bakkt’s institutional-first model targets regulated partners such as remittance firms and neobanks, leveraging its BitLicense and 50+ state money transmitter licenses for compliance and rapid scaling. With high-margin stablecoin flows and operating leverage, Clear Street views Bakkt as an underappreciated stablecoin infrastructure play. Rival broker Benchmark also initiated coverage with a buy rating and a $13 target.