Bernstein Holds Firm on Circle Price Target Amid Clarity Act Uncertainty

Circle Internet Group (CRCL) has maintained its Outperform rating from Bernstein analysts, who still believe in the company's growth potential. The firm has a $140 price target for CRCL, which represents a 59% rally potential from the current closing price of $87.98.

Despite ongoing questions surrounding the CLARITY Act's legislative fate, Circle's business momentum doesn't rely on its approval or rejection, according to Bernstein analysts. The company delivered second-quarter revenue of $701 million, a 7% increase compared to the prior year period, and net income of $48 million.

USDC's circulating supply increased by $1.7 billion within one week following nearly half a year of stagnant growth, indicating that user adoption has regained momentum. The stablecoin powers approximately 80% of decentralized exchange trading activity and DeFi transaction volumes.