I find it bizzare that $BMTX is so severely mispriced and oversold considering the company will hold a bank charter in the 2nd half of 2022 immediately after the acquisition of First Sound Bank. BMTX is already profitable, debt-free and has over $2-billion in deposits but trades at a market cap of $91-million and deeply low PE Ratio compared to industry and competitor averages.
With the upcoming bank charter The company will be able to operate as a fully-fledged bank and offer many of the same products as $SOFI – even including cryptocurrencies. This catalyst is a major game changer for the company that's automatically expected to see steep upside in the following earnings reports.
All I see here is a hidden gem.
Warrants are also insanely cheap, trading at ~$1.00 with an expiration in 2026 and redemption at $11.50/share. With only 9m shares in the free float and 100,000 shares left to short there seems to be little risk in buying some and just setting a sell order.
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