Coinbase bulls point to crypto legislation and stablecoins after earnings miss
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Coinbase reported Q1 earnings that missed revenue and adjusted EBITDA expectations as trading volume across the crypto market slowed.
- JPMorgan kept an overweight rating on Coinbase, citing the pending CLARITY Act and expecting a better outlook in H2 2026 and 2027.
- Clear Street cut its price target for Coinbase to $107 (from $140) yet stayed constructive, pointing to prediction‑market revenue of >$100 million annualized and retail‑derivatives revenue >$200 million annualized.
- Barclays warned that profitability is under pressure, user activity is weakening, and Coinbase remains tied to crypto boom‑and‑bust cycles, with shares down 3.6% pre‑market (Compass Point echoed the concerns).
- Oppenheimer noted Coinbase’s push beyond spot crypto, citing growth in stablecoins, derivatives, and prediction markets as a growth catalyst.
Why it matters: Investors see upside from the CLARITY Act, while Coinbase’s stock fell 3.6% pre‑market after weak Q1 earnings, tightening pressure on profitability and forcing a shift toward stablecoin and derivative revenues.
