Benchmark, Rosenblatt, and Deutsche Bank reiterated 'Buy' ratings on Coinbase following its System Update event
• Benchmark said Coinbase's product ambitions are broad enough to put "every brokerage, bank, and fintech in the country on notice."
• Rosenblatt called the company's recent expansion "impressive" and said the market is underestimating its long-term upside.
Wall Street analysts are growing more bullish on Coinbase Global Inc (COIN) after the company's latest product push convinced some that it is building far more than a crypto exchange.
According to TheFly, Benchmark, Rosenblatt, and Deutsche Bank all reiterated 'Buy' ratings on Coinbase following the System Update event, with price targets ranging from $208 to $270.
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Benchmark analyst Mark Palmer was among the most optimistic, saying the breadth of Coinbase's new offerings was "sweeping enough to put every brokerage, bank, and fintech in the country on notice."
The event unveiled products spanning tokenized stocks, derivatives, artificial intelligence tools, consumer finance, and payments, expanding Coinbase's push to become a one-stop financial platform.
The strategy is not new. CEO Brian Armstrong first laid out the "Everything Exchange" vision earlier this year, but the System Update event marks the most aggressive execution to date.
COIN's stock was trading up by 1% during mid-day trading hours. On Stocktwits, the retail sentiment around COIN remained in the 'bullish' zone, while chatter around it stayed at 'normal' levels over the past day.
Rosenblatt analyst Chris Brendler said the scale of Coinbase's recent product rollout remains underappreciated by investors.
After attending the event in New York, Brendler said he came away "more confident" in the firm's positive outlook, describing the company's expansion as "impressive" and the upside opportunity as largely overlooked by the market.
According to Rosenblatt, Coinbase has launched 18 new products and features over the past six months, a pace that could help transform the company from a crypto trading venue into a broader financial services "super app."
The firm also characterized the recent pullback in Coinbase shares as a potential buying opportunity, arguing that concerns about weaker crypto trading activity have already been reflected in analyst estimates and the stock's valuation.