Jefferies lowers Coinbase stock price target on expense outlook

Coinbase reported its prediction markets business generates over $200M annually, with a 24% YoY increase in paying Coinbase One members. Q3 net income was $719M, driven by unrealized crypto gains, while adjusted net income was $78M. Prediction markets revenue grew at an 82% CQR, and non-sports contracts exceeded 50%. Coinbase One subscribers contribute higher revenue and balances. Total revenue held at $1.2B despite a 10% drop in crypto trading volume, with adjusted EBITDA at $333M.

Mizuho reduced its price target for Coinbase (COIN) to $145, citing concerns over trading weakness and market share loss. The stock is down 51% over the past year. Q3 results beat low expectations but did not address core issues. Transaction revenue is projected at $607M for Q4, below consensus. Management narrowed 2026 expense guidance. COIN reported Q3 earnings of $2.51 per share, exceeding forecasts, with revenue of $1.2B but down 35% YoY.

Coinbase, a US digital-asset exchange, acquired 643 Bitcoin in Q3, increasing its total holdings to 17,954. This move placed Coinbase eighth among publicly traded companies by Bitcoin holdings, according to Bitcoin Treasuries.

Coinbase Global (COIN) reported Q3 2026 revenue of $1.21B, adjusted EBITDA of $333M, and net income of $719M. Transaction revenue was $590M, and subscription/services revenue was $570M. Platform assets reached $377B, with a 10.7% trading share. The company cited weaker crypto trading and market volatility as challenges. COIN's stock fell 12.9% in the quarter, with a mean 12-month price target of $207.50.

Binance, the world's largest cryptocurrency exchange, reported a $6.3 billion hack attributed to North Korean attackers. The exchange is working to freeze stolen assets, with $3 billion recovered so far. Bitcoin and other cryptocurrencies dropped sharply in response. Binance assured users that deposits are unaffected and withdrawals will resume within 48 hours. The incident may prompt investors to reassess risks in digital assets.

Binance reported a security breach, potentially the largest crypto heist, with $3 billion in assets frozen. Bitcoin, Ether, and BNB prices dropped. Binance will cover losses, and user funds remain safe. Industry experts warn of broader implications for crypto security and investor confidence.