The post Wall Street Divided on Coinbase’s (COIN) Path Forward After Q3 Earnings Beat appeared on BitcoinEthereumNews.com.

Coinbase’s (COIN) expectations-busting third-quarter earnings report drew a range of responses from Wall Street analysts, highlighting sharp differences in expectations for the crypto exchange’s long-term growth and ability to manage costs. The company posted $1.05 billion in transaction revenue and $801 million in adjusted Ebitda, both ahead of consensus estimates. Analysts across the board agreed that derivatives trading, subscription services and the integration of Deribit helped drive the beat. From there, opinions diverged. Barclays analyst Benjamin Budish acknowledged Coinbase’s performance, but flagged rising costs and shrinking margins heading into the fourth quarter. He cited a step-up in operating expenses, driven by hiring and acquisitions like fundraising platform Echo, as key challenges. Budish lowered his price target to $357 from $361, citing lower earnings estimates for 2026. Clear Street’s Owen Lau was more upbeat. He raised his target to $415 from $405, arguing that Coinbase is well-positioned to benefit from a growing role in cross-border B2B payments. Lau pointed to Coinbase’s partnerships with Citi and Shopify, and said stablecoin-based merchant payments could take market share from traditional pathways. He also flagged regulatory progress, such as the possible passage of the Clarity Act in the U.S. next year, as a potential “Altcoin Summer” catalyst. Benchmark’s Mark Palmer echoed the optimism, keeping a buy rating and $421 target. He framed the earnings as a return to form, with Coinbase demonstrating operating leverage as crypto markets warmed. He emphasized the importance of subscription revenue, which grew 14% quarter-over-quarter, and the company’s role in the broader institutional adoption of digital assets. Citi also struck an upbeat tone, highlighting momentum across the exchange’s expanding business lines. Analysts led by Peter Christiansen said they were encouraged by the company’s progress in signing new “onchain-as-a-service” partnerships, including with Samsung and several banks. The report added that the company’s…

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Filed under: News - @ November 1, 2025 3:21 am