Morgan Stanley downgrades Coinbase to Underweight and slashes price target to $120
+1 new source since this summary was written
Morgan Stanley cut its rating on Coinbase to Underweight and reduced the price target from $258 to $120. The bank lowered its 2027 revenue forecast by 28% and its adjusted EBITDA estimate for 2027 by 47%, citing weaker trading trends and a softer revenue outlook. Coinbase reported third‑quarter revenue of $1.22 billion, a 35% year‑over‑year decline, with transaction revenue down 44% to $590 million. The downgrade follows a recent Binance hack and a broader slowdown in crypto trading volumes.
Why it matters
The new target implies roughly a 16% downside from the current share price, indicating potential further loss for investors (source 8). The lower forecasts suggest reduced earnings growth through 2028, which may pressure the stock’s valuation.
Key facts
- 1Morgan Stanley lowered Coinbase's price target to $120 from $258. investing.com
- 2The bank cut the 2027 revenue forecast by 28%. investing.com
- 3Adjusted EBITDA for 2027 was reduced by 47%. investing.com
- 4Coinbase's third‑quarter revenue was $1.22 billion, down 35% year over year. coindesk.com
- 5Transaction revenue fell 44% year over year to $590 million. coindesk.com
- 6The stock was trading at $143.54, near its 52‑week low of $136.89. investing.com
Summary written by AlphAI AI Desk from 10 of 10 sources. Not investment advice. Figures are as stated by the linked sources.