Shares of cryptocurrency exchange Coinbase (NASDAQ:COIN) fell in after-hours trading after the company reported earnings for its first quarter of Fiscal Year 2024. Earnings per share came in at $4.40, which beat analysts’ consensus estimate of $1.15 per share.
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Sales increased by 112.3% year-over-year, with total revenue hitting $1.64 billion and Subscription and Services revenue coming in at $511 million. Total revenue beat analysts’ expectations by $300 million.
Bitcoin’s (BTC-USD) resurgence has undoubtedly helped the company’s financial situation, as the increased volume of transactions meant more commission revenue. Interestingly, investors could have anticipated the strong year-over-year results by simply looking at Coinbase’s website traffic. As per the image below, we can see the number of visitors rise significantly during the most recent quarter.
Is COIN a Good Buy Now?
Turning to Wall Street, analysts have a Moderate consensus rating on COIN stock based on nine Buys, 11 Holds, and three Sells assigned in the past three months, as indicated by the graphic below. After a 372% rally in its share price over the past year, the average COIN price target of $229.14 per share implies that shares are fairly valued. However, it’s worth noting that estimates will likely change following today’s earnings report.
