On May 4, 2023, Coinbase Global (NASDAQ:COIN) is gearing up to release its Q1 earnings after the market closes on May 6, 2021. Experts are predicting that Coinbase may report a decline in revenue from $1.17 billion in the first quarter of the previous year to $649.4 million. According to The Street, the company is expected to post revenues of $654.2 million in Q1, which is a 44% decrease from the prior-year quarter. Analysts are anticipating a decrease in earnings per share from $1.98 to $1.36 in the first quarter.
Coinbase has faced some challenges in the past year, including missing earnings per share estimates from analysts for four consecutive quarters and missing revenue estimates in three of the last four quarters. Ahead of the earnings release, Needham analyst John Todaro predicts a 23% decline in USD Coin’s (USDC-USD) market cap due to the failure of Silicon Valley Bank, which negatively impacted interest income. Additionally, the analyst lowered the Q1 trading volume estimate from $147 billion to $151 billion.
Coinbase has also faced significant headwinds in Q1 due to heightened market uncertainty and regulatory issues with the SEC. While the company is not likely to comment on ongoing regulatory issues, investors will be paying close attention to any updates on the company’s legal battles. Technical analysis suggests a bearish trend for Coinbase stock ahead of the Q1 earnings release.
COIN Stock Analysis: Positive Earnings Growth Projected for Coinbase Global Inc. in Next 5 Years
On May 4, 2023, Coinbase Global Inc. (COIN) opened at $48.82, with a total volume of 447,019 shares traded. COIN operates in the finance sector, specifically in the investment banks/brokers industry. In the past year, COIN experienced a negative earnings growth of -182.78%, but there has been a significant improvement in the current year, with earnings growth of +66.88%. COIN is projected to have a positive earnings growth of +28.36% over the next five years. On May 5, 2023, COIN is set to report its next earnings. The EPS forecast for this quarter is -$1.45. COIN has a negative net profit margin of -82.18%. Investors should continue to monitor COIN’s performance and take a long-term approach when evaluating the stock.
Coinbase Stock Analysis: Analysts Predict Growth Despite Volatility in Cryptocurrency Market
On May 4, 2023, Coinbase Global Inc’s stock closed at $49.25. The 23 analysts offering 12-month price forecasts have a median target of $65.00, with a high estimate of $200.00 and a low estimate of $27.00. The current consensus among 28 polled investment analysts is to hold stock in the company. Despite the current financial performance, investors remain optimistic about the company’s long-term prospects due to its strong position in the cryptocurrency market and growing user base. However, investors should be cautious due to the highly volatile nature of the cryptocurrency market.