Coinbase shares ‘uninvestable in the near term,’ analyst says
As one analyst lowered his price target for Coinbase by nearly 30%, another described recent sell-offs of the crypto exchange’s shares as “overdone.” Mark Palmer, an analyst at Berenberg Capital Markets, decreased his price target for Coinbase stock from $55 to $39. The stock’s price stood at roughly $54 on Thursday at 10:30 am ET, up about 1.5% on the day. The crypto exchange’s shares are down about 17% in the last five days, dropping below $47 on Tuesday after the SEC sued Coinbase for alleged securities violations. “The reduction in our price target reflects our view that COIN, which we had expected to report weak [second quarter] trading volumes before the SEC filed a lawsuit against it on Tuesday, could see that weakness persist and intensify due to the overhang that the lawsuit has created,” Palmer said. He added: “The upshot is that we view COIN shares as uninvestable in the near term.” The company’s trading volumes during this year’s first quarter were $145 billion...