Benchmark Reiterates Coinbase Buy Rating, Raises Price Target to $270

BlockBeats News, May 13th. Despite recording a net loss of $394 million in the first quarter, with revenue of only $7.558 billion well below expectations, Coinbase's stock price fell by 6%. However, Benchmark analysts reiterated their Buy rating on Tuesday and raised their target price from $260 to $270.

The analysts believe that Coinbase is transitioning from a market-dependent crypto broker to the fundamental infrastructure platform for the 'onchain economy.' The company has achieved net inflows for 12 consecutive quarters, reached a new high of 8.6% in global trading volume share, and has 12 monetized businesses contributing approximately $1 billion in annual revenue each. In addition, Base Layer stablecoin trading volume has increased tenfold year-on-year, derivative revenue has hit a new high, and improvements in the regulatory environment are seen as long-term growth drivers.