Latest news with #GautamChhugani
Yahoo
a day ago
- Business
- Yahoo
Circle Valuation Is 'Outside Our Comfort Zone,' Initiate at Underweight: JPMorgan
Wall Street heavyweight JPMorgan (JPM) initiated coverage of stablecoin issuer Circle (CRCL) with an underweight rating and an underwhelming $80 price target. The shares were trading 4.5% higher at around $189 at publication time. Circle is well positioned, the bank said, and its USDC stablecoin has an "early-mover advantage," with growing use cases in payments. "We think highly of the Circle management team and are confident in the outlook for outsized stablecoin and USDC growth," analysts led by Kenneth Worthington wrote. Still, the analysts see the company's market capitalization as elevated, and initiated coverage with an underweight rating. The stock priced at $31 a share in its initial public offering (IPO), and hit a record high of $299 last Monday. Other Wall Street analysts were not as bearish. Broker Bernstein initiated coverage with an outperform rating and a $230 price target, saying Circle was an "investor must-hold." "CRCL is building a market-leading digital dollar stablecoin network, with a strong regulatory edge, liquidity headstart and marquee distribution partnerships," analysts led by Gautam Chhugani wrote. Bernstein is also bullish about the wider stablecoin market, and expects total market cap to reach around $4 trillion in the next decade from $225 billion today. Rival broker Canaccord Genuity started coverage of Circle with a buy rating and a $247 price target. The firm's analysts view the issuer of USDC as "having many of the key attributes that could make it a long-term winner in this potentially very large and new market for truly digital money."
Yahoo
2 days ago
- Business
- Yahoo
Bernstein Maintains a Buy Rating on MicroStrategy (NASDAQ:MSTR) With a $600 PT
MicroStrategy Incorporated (NASDAQ:MSTR) is one of the 11 Best Strong Buy Stocks to Invest in Now. In a report released on June 16, Gautam Chhugani from Bernstein maintained a Buy rating on MicroStrategy Incorporated (NASDAQ:MSTR) with a price target of $600.00. A software engineer wearing a headset, collaborating with a remote team on a project. The company recently reported in a regulatory filing that it acquired 245 BTC for an aggregate purchase price of $26 million during the period from June 16 to June 22. The filing stated that the acquisition brings the company's aggregate BTC holdings to 592,345 as of June 22. MicroStrategy Incorporated (NASDAQ:MSTR) engages in the development of the Bitcoin network through its operations in technology, financial markets, and advocacy. It is the world's largest corporate holder of Bitcoin. While we acknowledge the potential of MSTR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None.
CNBC
2 days ago
- Business
- CNBC
This stock tied to crypto has been on fire since its IPO. Some analysts see even more gains ahead
Some analysts can't get enough of crypto darling Circle Internet Group . Circle is the issuer of USDC, a popular stablecoin, and may be the latest stock to benefit from both a more favorable IPO environment and crypto-friendly regulation. Shares of Circle have popped an eye-watering 482% since the company went public earlier in June. The stock has been popular from the beginning, with opening at $69 on the New York Stock Exchange — far higher than its IPO pricing of $31. Circle stock soared 168% on the day of its debut, closing at $83.23 per share. Despite Circle's already impressive rally, some analysts have even higher hopes for the stock going forward, such as Needham and Barclays. Others, such as JPMorgan, have a more downbeat outlook on the stock. Here's what analysts at some of the biggest shops on Wall Street had to say about Circle. Needham initiates at buy rating and $250 price target Analyst John Todaro's target implies about 39% upside from Friday's close. "We view stablecoins as a fast-growing, paradigm shifting part of the financial ecosystem; we expect USDC to be dominant within … We believe Circle could be a company in a paradigm shifting segment that supports a premium valuation akin to a Tesla or dominant AI company." Canaccord Genuity initiates at buy rating and $247 price target Canaccord Genuity's price target calls for 37% upside going forward. "Big run-up post IPO means short-term valuation a risk factor; but sheer TAM size, improving regulatory backdrop, and early market leadership all point to a much larger business medium term; DCF analysis is supportive." Bernstein initiates at outperform and $230 price target Analyst Gautam Chhugani's forecast is 27% above Circle's Friday closing price. "CRCL is building a market-leading digital dollar stablecoin network, with a strong regulatory edge, liquidity headstart and marquee distribution partnerships. This is hard to replicate, in our view. We view CRCL as an investor must-hold, to participate in the new internet-scale financial system built for the next decade." Barclays initiates at overweight rating and $215 price target Analyst Ramsey El-Assal's price target was approximately 19% higher than Circle's closing price on Friday. "As blockchain technology is integrated into the traditional financial ecosystem, we view CRCL as one of the only ways for public company investors to play the theme. A steady drumbeat of stablecoin-related news should send shares higher." Deutsche Bank initiates at hold rating and $155 price target Deutsche Bank's target equates to 14% downside. "While we see potential for strong long-term industry adoption of stablecoins, the range of outcomes are very wide & likely to create substantial volatility in earnings revisions and the share price for at least the near-to-intermediate term. Hence, we see the shares as being fairly valued, albeit within a wide range, but we would wait for better opportunities before starting a position." Goldman Sachs initiates at neutral rating and $83 price target Analyst James Yaro's price target implies downside of 54% ahead. "CRCL is a unique asset in the public markets, as the only pure play crypto-native company that has potential upside from expansion into very large existing fiat markets, without the direct price volatility inherent to crypto trading. CRCL's main product, USDC, is a stablecoin meant to represent USD on blockchain ... We view CRCL's business and growth attractively, but valuation appears elevated." Oppenheimer initiates at perform rating The investment firm did not set a price target for the stock. "CRCL is a "clean" way to get exposure to blockchain disruption in money market funds, real estate, consumer payments, and capital markets. More important, USDC will be a compliant, global currency for transactions in the on-chain world." JPMorgan initiates at perform rating and $80 price target The bank's price target implies about 56% downside from Friday's close. "We think highly of the Circle management team and are confident in the outlook for outsized stablecoin and USDC growth. However, we see Circle's current market capitalization elevated, and we thus initiate coverage with an Underweight rating."
Yahoo
4 days ago
- Business
- Yahoo
The Case for Coinbase Stock Hitting $510 This Year
The cryptocurrency market is experiencing renewed upward momentum. Bitcoin (BTCUSD) is holding strong, stablecoins are going mainstream, and the regulatory fog is finally lifting. Plus, platforms are making crypto more accessible than ever with smoother onboarding, integrated wallets, and a user experience that feels less like code and more like cash. In the middle of it all stands Coinbase (COIN), the premier U.S. crypto exchange. The company has been quietly evolving into a full-blown financial powerhouse. While most players are still figuring it out, Coinbase has already secured its S&P 500 ($SPX) badge and dominates stablecoin flows. Dear Nvidia Stock Fans, Watch This Event Today Closely A $2 Billion Reason to Sell Super Micro Computer Stock Now 3 ETFs Offering Juicy Dividend Yields of 15% or Higher Stop Missing Market Moves: Get the FREE Barchart Brief – your midday dose of stock movers, trending sectors, and actionable trade ideas, delivered right to your inbox. Sign Up Now! With Washington warming up to crypto thanks to the GENIUS Act and Circle's USD Coin (USDCUST) model gaining traction, Coinbase is riding a fresh wave of optimism. Armed with a MiCA license and a fresh European hub in Luxembourg, the company's global push is also turning heads on Wall Street. That's why Bernstein analyst Gautam Chhugani recently raised his COIN stock price target to $510. Amid mounting tailwinds and a stellar double-digit surge in 2025, the stock's path to that target may be accelerating faster than expected. Founded in 2012, Coinbase is a Delaware-based crypto giant boasting a $90 billion market capitalization. As the second-largest exchange globally, it serves both retail and institutional investors. Beyond trading, Coinbase is expanding through global licenses, acquisitions, and innovations like stablecoin payments and crypto cards, positioning itself as a key architect in the evolution of digital finance. As Bitcoin climbs and regulation turns favorable, COIN stock is riding a powerful wave. On Wednesday, shares surged more than 3% to touch $369.28 — edging closer to 2021 highs — after Bernstein dubbed Coinbase the 'Amazon of crypto.' Bringing stablecoin clarity, the GENIUS Act's Senate passage also sparked a rally, boosting Coinbase's prospects. Zooming out, COIN stock has soared 50% on a year-to-date (YTD) basis and a staggering 93% over the past three months. That signals serious momentum for this crypto heavyweight. Coinbase's fiscal first-quarter earnings report, unveiled on May 8, showed strong momentum but fell short of expectations. Revenue jumped 24% year-over-year (YOY) to $2 billion, fueled by active trading and demand for Coinbase One. EPS came in at $0.24, missing estimates, while adjusted net income slipped 23% to $1.94 per share, leaving Wall Street hoping for a stronger beat. Transaction revenue rose 18% to $1.3 billion, while consumer trading volume hit $78 billion, up 39% YOY despite a sequential dip. Institutional flow reached $315 billion, also up annually. Subscriptions and services jumped 36% to $698.1 million, powered by stablecoin traction and user loyalty. April alone brought in $240 million in transaction revenue, hinting at a potentially stronger Q2 ahead. Building on its momentum, Coinbase spotlighted the $2.9 billion Deribit acquisition as a bold step into global derivatives, aligning with CEO Brian Armstrong's vision to unite spot, futures, and options. With rising USDC balances adding stability, the deal is seen as EBITDA-accretive and crucial for scaling institutional flows. While macro headwinds and crypto swings remain, CFO Alesia Haas noted early Q2 softness in blockchain rewards and subs. Still, management remains confident, banking on global expansion, policy clarity, and a forecast $600 million to $680 million in Q2 subscription and services revenue. Analysts monitoring Coinbase expect the company's EPS to be around $5.10 in fiscal 2025 before surging almost 28% annually to $6.52 in fiscal 2026. With a fresh wave of optimism, Bernstein analyst Gautam Chhugani gave COIN stock an 'Outperform' rating and raised his target price from $310 to $510 — the highest on the Street, implying 36% growth. Bernstein sees Coinbase as wildly misunderstood and severely underpriced. With solid earnings upgrades, a fading bear case, and regulatory tailwinds like the GENIUS Act, the analyst believes COIN is now the "Amazon of crypto financial services." Coinbase's recent wins back that up — its entry into the S&P 500, dominance in stablecoins, the Deribit acquisition, and more. With a European win now in hand and a fresh suite of crypto innovations unveiled, Bernstein sees Coinbase positioned not just as a player, but the platform to beat in a maturing crypto landscape. Wall Street leans bullish on COIN with a "Moderate Buy" consensus rating. Out of 29 analysts, 13 now rate it as a 'Strong Buy" while one advises a 'Moderate Buy" rating. Next, 14 analysts are playing it safe with 'Hold" ratings and the remaining analyst is outright bearish with a 'Strong Sell' stance. The stock's rally over the past few weeks has pushed it past the average price target of $275.40. That's a clear sign of growing investor enthusiasm and bullish momentum. On the date of publication, Sristi Suman Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. 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Yahoo
6 days ago
- Business
- Yahoo
Coinbase, Circle rally as stablecoin momentum heats up
Coinbase (COIN) and Circle (CRCL) shares rose sharply on Thursday as both the crypto exchange and the stablecoin issuer emerged as major winners of growing enthusiasm around digital tokens. Coinbase gained 5% to notch its first all-time high since November 2021. The stock has surged more than 40% since the Senate passed the GENIUS Act last week. The landmark legislation is aimed at establishing a regulatory framework for stablecoins, digital tokens backed by assets such as the US dollar and short-term treasuries. Bernstein analyst Gautam Chhugani this week dubbed Coinbase the "Amazon of crypto financial services." His team raised their price target on the stock to a Street high of $510 from $310, with an Outperform rating. On Thursday, shares traded near $375 each, more than 950% above their "crypto winter" lows in late 2022 following the collapse of FTX. Today, analysts point to Coinbase's buildout of a suite of crypto financial services beyond trading, including the stablecoin industry. Earlier this month, shopping platform Shopify (SHOP) partnered with Coinbase and payment processing company Stripe ( to launch digital wallet stablecoin payments, allowing merchants to accept the tokens globally. Read more about Coinbase and Circle's stock moves and today's market action. Meanwhile, shares of Circle, of which Coinbase owns a minority stake, have also soared. The stock is now up more than 575% from its IPO price of $31 per share as investors bet on the rapid global adoption of the company's flagship product, USDC stablecoins. "We view Circle as a top-tier crypto 'disruptor' with a sizeable future opportunity," Jeff Cantwell wrote last week. The firm sees "the stablecoin 'market cap' potentially reaching $2T over the longer-term, from roughly $260B today." Momentum around Circle has also been fueled by a wave of new stablecoin initiatives from major financial players. Read more: Can you buy crypto with a credit card? See the pros and cons. On Monday, fintech firm Fiserv (FI) announced plans to launch a digital asset platform, including a new stablecoin (FIUSD) by the end of this year using existing infrastructure from issuers Paxos and Circle. One analyst, however, warned of possible share price pressures later this year as competition in the stablecoin space intensifies. "We expect competition to accelerate after stablecoin legislation passes," Compass Point analyst Ed Engel wrote in a note Tuesday. "This influx of competition could reduce long-term market share expectations and pressure CRCL shares in 2025." Engel and his team initiated coverage of the stock with a Neutral rating and $205 price target. On Thursday, shares of Circle were trading near $210 a piece. Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre. Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
