BTIG Sticks with Coinbase Buy Rating Amid Volatility
BTIG has reaffirmed its Buy rating and $240.00 price target for Coinbase shares, despite the stock's recent decline of 47.5% over the past year.
The firm hosted a meeting with Brett Tejpaul, Co-CEO of Coinbase Institutional, to discuss the company's institutional business, which accounts for around 20% of revenue and includes clients such as asset managers, banks, retailers, ETF providers, and exchange providers.
Tejpaul outlined the development of the institutional business through three phases: building a core platform, extending infrastructure into payments and stablecoins, and expanding into tokenized assets and continuous markets over time.
BTIG noted that Coinbase's institutional business has shown resilience despite broader market volatility, citing its strong gross profit margin of 85.8% and negative EPS of $3.73 on revenue of $6.04 billion over the last twelve months.