Why KULR Technology Group Stock Flopped on Friday

A vivid red number on the bottom line and a revenue miss were the factors pushing down KULR Technology Group (NYSEMKT: KULR) stock on the last trading day of the week. The company's share price eroded by more than 13% across the session, comparing most unfavorably to the S&P 500's (SNPINDEX: ^GSPC) rise of 0.7%.

Fundamentals veered off in two very different directions

For its first quarter of this year, KULR managed to grow its revenue by 40% to $2.45 million. Going in quite the opposite direction was the company's bottom-line result; its net loss deepened considerably, to $18.8 million ($0.07 per share) from the year-ago deficit of slightly over $5 million.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Image source: Getty Images.

On average, analysts tracking the battery technology specialist were projecting a notably higher revenue figure of $3 million. Their consensus of $0.07 for net loss was in line with the actual number.

The steeper net loss was due in large part to KULR's embrace of Bitcoin mining and purchasing; it booked an unrealized loss on its activities with the cryptocurrency totaling $9.7 million during the quarter. Relatively higher selling, general, and administrative (SG&A) and research and development (R&D) expenses also played a part.

Continued confidence in crypto

In its earnings release, KULR quoted CFO Shawn Canter as saying of its crypto activities that "we remain steadfast in our BTC treasury strategy and look past these short-term changes in price."

Investors might not be as confident as the executive about the company's involvement with Bitcoin. Personally, I'd be worried that the company's finances might be disproportionally affected by the cryptocurrency. Shareholders are right to be concerned, in my view.

Should you invest $1,000 in KULR Technology Group right now?

Before you buy stock in KULR Technology Group, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and KULR Technology Group wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $635,275!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $826,385!*

Now, it’s worth noting Stock Advisor’s total average return is 967% — a market-crushing outperformance compared to 171% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of May 12, 2025

Eric Volkman has positions in Bitcoin. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.