Coinbase Surprises with Strong Q4, Poised for Q1 Beat
Key Highlights:
* Coinbase (COIN) reported strong Q4 earnings despite mixed Q1 guidance.
* Revenue surged to $1.556 billion, led by higher bitcoin prices and increased trading volume.
* Wall Street analysts believe COIN may surprise in Q1 due to positive regulatory tailwinds.
Wall Street Reaction:
* Jefferies: Rating Hold, Target $300
* JP Morgan: Rating Neutral, Target $344 (up from $264)
Trump Administration's Pro-Crypto Stance Boosted Outlook
Coinbase executives emphasized the bullish impact of President Trump's crypto-friendly policies. They cited favorable stance on token classification and stablecoins, as well as congressional support for related legislation. This has created a positive regulatory environment for cryptocurrencies in the US.
Key Metrics:
* Transaction revenue: $1.556 billion
* Retail trading volume: $94 billion
* Institutional trading volume: $345 billion