Goldman Sachs Upgraded our rating on Coinbase from "Neutral" to "Buy" and raised our price target to $303
Wall Street investment bank Goldman Sachs said it maintains a “selectively bullish” stance on broker-dealers and crypto firms for 2026, believing that a resilient retail trading environment and ongoing regulatory progress will underpin industry growth.“We expect the convergence of traditional retail brokerage and crypto trading to continue in 2026, which will further intensify competition and may impact market share and product pricing,” wrote the analyst team led by James Yaro in a report released on Monday.The firm upgraded its rating on cryptocurrency trading platform Coinbase from “Neutral” to “Buy” and raised its price target from $294 to $303, implying more than 30% upside potential.Driven by a rise in cryptocurrency prices on Sunday night, Coinbase’s stock rose 4.3% in early Monday trading. Yaro and his team maintained “Buy” ratings on Robinhood, Interactive Brokers, and Figure Technology.Yaro noted that Coinbase’s scale and brand strength are seen as key drivers for outpacing peers in revenue growth and market share. He forecasts that Coinbase’s revenue will grow at a 12% compound annual growth rate (CAGR) through 2027, exceeding the industry average of 8%, thanks to its industry-leading customer acquisition costs.Yaro’s team also highlighted Coinbase’s recent launch of a series of new products in areas such as brokerage, banking, wealth management, and tokenization, noting that these initiatives have enhanced the company’s competitiveness and positioned it for scalable growth in areas of structural growth, such as prediction markets.At the same time, Goldman Sachss are optimistic about Coinbase’s expanding subscription and services business, which currently accounts for approximately 40% of its total revenue. As cryptocurrency use cases extend beyond trading into broader areas, this business is expected to grow steadily and reduce earnings volatility.
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