In a note to clients Wednesday, the investment firm reiterated a Market Outperform rating and $320 price target on Coinbase shares, with the target reflecting an ~11x EV/revenue multiple on JMP’s 2025E revenue expectation.
“Over the past week, several notable events have developed around the digital asset industry that we estimate could create further catalysts for the broader space and in our coverage universe, could add to the positive momentum at Coinbase and, to a lesser degree Robinhood (NASDAQ:HOOD, MO, $30 PT), albeit still positive overall,” wrote analysts at JMP.
They caution that, it is not completely clear yet the degree political winds are structurally shifting, although the firm notes that momentum has clearly moved closer toward bipartisanship with SAB 121 repeal resolution passing the House and Senate last week.
Analysts also highlight other developments in recent days, including “the SEC’s apparent about-face on spot-ETH approval.”
At the very least, analysts believe these developments individually have positive implications, and if the tide has truly shifted politically, they think the implications for the industry are transformative in the U.S., accelerating its move into the mainstream and creating a springboard for exponential expansion,” adds JMP.
Source: Cryptocurrency - investing.com
