Coinbase Global Valuation Hinges on Long-Term Crypto Adoption

Coinbase Global (COIN) has introduced several significant updates in September, including the rollout of DeFi Earn in Brazil and new derivatives ambitions. The company's trading infrastructure upgrades also involve an AI-driven trading stack disclosure.

These product updates come as Coinbase Global trades at $194.25, with a 1-day share price return of 11.66% and a 90-day share price return of 22.80%. However, the year-to-date share price return is down 17.88%, while the 3-year total shareholder return stands at about 1.7x.

The most followed narrative on Coinbase Global points to a fair value of $247.39, implying a valuation gap that hinges on long-term crypto adoption rather than short-term quarter-to-quarter smoothness.

A DCF model estimates the future cash flow value at only $19.56 per share, which suggests a stock that screens as heavily overvalued on this framework.