Coinbase Global, Inc. (NASDAQ:COIN) shares are trading lower on Friday amid a possible selloff. The stock initially traded higher on Thursday after the company reported 2024 fiscal-year fourth-quarter earnings.
The Details: Coinbase reported earnings per share of $4.68. In addition, the company reported sales of $2.27 billion, beating analysts’ estimate of $1.83 billion.
Coinbase broke down its revenue further. It reported transaction revenue of $1.6 billion, representing a 172% quarter-over-quarter increase. Furthermore, it reported subscription and services revenue of $641 million, up 15% quarter-over-quarter.
The company announced $439 billion in quarterly trading volume and $404 billion in assets on the platform. It reported adjusted EBITDA of $1.3 billion, its highest ever.
“It's the dawn of a new era for crypto. Crypto's voice was heard loud and clear in the US elections, and the era of regulation via enforcement that crippled our industry in the US is on its way out. The Trump Administration is moving fast to fulfill its promise of making the US the crypto capital of the planet, and globally, leaders are taking notice and increasing their attention and investment into crypto,” said Coinbase in a letter to shareholders.
Coinbase issued guidance for the 2025 fiscal year’s first quarter. It sees subscription and services revenue from $685 million to $785 million. The company, as of February 11, has generated about $750 million in transaction revenue.
Analyst Changes: Following the earnings report, multiple analysts issued price target adjustments.
- JMP Securities analyst Devin Ryan maintained a Market Outperform rating and raised the price target from $400 to $475.
- Canaccord Genuity analyst Joseph Vafi maintained a Buy rating and raised the price target from $280 to $400.
- Piper Sandler analyst Patrick Moley maintained a Neutral rating and raised the price target from $285 to $310.
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COIN Price Action: At the time of writing, Coinbase stock is trading 6.56% lower at $278.61, according to data from Benzinga Pro.
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