3 Earnings Misses Later, Wall Street Won’t Give Up on Coinbase Stock

Wall Street just lowered its price forecasts for Coinbase stock. The exchange missed earnings expectations for the third quarter in a row. Almost no analyst changed their advice, though. Most still say buy.

A price target is where an analyst expects a stock to trade in 12 months. Several firms cut theirs this week. Their ratings stayed exactly where they were.

What Went Wrong in the Quarter

Coinbase lost $359.5 million in the three months to June 30. That works out to $1.36 per share. Analysts had penciled in a loss of just 17 cents. So the gap was wide. Revenue reached $1.22 billion. Analysts wanted about $1.29 billion. A year earlier the figure was $1.5 billion.

The damage started with trading. Customers traded 24% less than in the first quarter, Citizens said. Price swings were the smallest in years, so fewer people bought or sold. COIN shares then slid to a third straight quarterly loss.

Subscriptions did not rescue the quarter either. That unit brought in $555 million, below the $594 million analysts wanted.

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