Coinbase (COIN) wrapped up 2024 with impressive momentum, bolstered by a more favorable outlook for the digital asset space, according to a research note from JMP following the exchange’s fourth-quarter earnings report on Thursday.
JMP raised its price target for Coinbase to $475, up from $400, while reaffirming its market outperform rating on the stock. Despite this positive reassessment, the shares dropped 1.3% to $294.30 in early trading after a strong 8.4% surge the previous day.
The analysts at JMP, led by Devin Ryan, believe that Wall Street is underestimating Coinbase’s growth potential.
“You ain’t seen nothing yet,” the report stated, suggesting that if transaction volumes continue at the current pace, Coinbase could surpass revenue projections for Q1 2025 by nearly 30%.
According to the report, a “seismic shift” is underway in the industry, and Coinbase’s positive momentum doesn’t yet reflect the full scope of changes still to come.
JMP forecasts significant growth for Coinbase, projecting the company will be far larger in the next five years.
“The current regulatory and legislative environment is setting the stage for the next phase of crypto,” the analysts concluded.
Share this content:
