Goldman Sachs Upgrades Coinbase from 'Neutral' to 'Buy', Raises Price Target to $303
BlockBeats News, January 5th, Goldman Sachs, the Wall Street investment bank, stated that it holds a "selective bullish" view on the broker and crypto companies for 2026, believing that a resilient retail trading environment and ongoing regulatory developments will support industry growth.
"We expect the continued integration of traditional retail brokerage businesses and crypto trading 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 bank upgraded the rating of the cryptocurrency exchange platform Coinbase from "Neutral" to "Buy" and raised its target stock price from $294 to $303, implying over 30% upside potential. Fueled by a Sunday night cryptocurrency price surge, Coinbase's stock rose 4.3% in Monday's early trading.
Yaro and his team maintained a "Buy" rating for Robinhood, Interactive Brokers, and Figure Technology.
Yaro pointed out that Coinbase's scale and brand advantage are seen as key drivers for surpassing peer revenue growth and gaining market share. He predicted that by 2027, Coinbase's annual revenue compound growth rate will reach 12%, higher than the industry average of 8%, thanks to its industry-leading customer acquisition cost.
The Yaro team also emphasized a series of new products recently launched by Coinbase in brokerage, banking, wealth management, and tokenization, believing that these initiatives enhance the company's competitiveness and provide scalability in growth areas such as the predicted market. Meanwhile, Goldman Sachs holds an optimistic view of Coinbase's expanding subscription and service business, which currently represents about 40% of its total revenue. With the cryptocurrency use cases expanding from trading to broader areas, this business is expected to grow steadily, reducing profit volatility.
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