Coinbase Global (COIN – Research Report), the Financial sector company, was revisited by a Wall Street analyst today. Analyst Peter Christiansen from Citi maintained a Buy rating on the stock and has a $350.00 price target.
Peter Christiansen has given his Buy rating due to a combination of factors that highlight Coinbase Global’s potential in the evolving crypto landscape. The company is seen as being in a strong position to take advantage of what could be a transformative period for cryptocurrency, with expectations of a transition into a new era. This outlook suggests that Coinbase is poised to benefit as a “risk-on” investment, likely experiencing volatility tied to broader macroeconomic trends and regulatory changes. Christiansen anticipates that Coinbase will focus on expanding the utility of crypto, which is expected to provide long-term diversification and set it apart from competitors.
Coinbase’s performance in the fourth quarter of 2024 is also projected to be robust, with a notable increase in net revenue driven by a post-election surge in crypto prices and trading volumes. The company is forecasted to achieve a substantial rise in transaction volumes and user engagement, which underpins an optimistic revenue outlook. Christiansen’s analysis includes an updated revenue estimate for fiscal year 2024, reflecting a 9% increase in expected revenue and a 16% rise in adjusted EBITDA. Additionally, strategic investments in user acquisition and product development are anticipated to support growth, despite some expected contraction in EBITDA margins. Consequently, the target price for Coinbase’s stock has been lifted from $275 to $350, reinforcing the Buy recommendation.
In another report released today, Needham also maintained a Buy rating on the stock with a $330.00 price target.
Based on the recent corporate insider activity of 201 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of COIN in relation to earlier this year.