Wall Street divided on Coinbase after earnings miss

Wall Street firms were split on Coinbase after the company posted earnings that missed market expectations, according to CoinDesk. Cantor Fitzgerald, Oppenheimer and Benchmark said the weak results reflected a drop in cryptocurrency prices and saw room for the stock to rebound. Those firms pointed to progress in Coinbase’s long-term strategy across stablecoins, derivatives and tokenized assets. William Blair also said Coinbase could be among the biggest beneficiaries if the crypto market recovers, citing stabilizing ETF inflows. By contrast, Clear Street, Barclays and Compass Point said Coinbase’s new businesses have limited ability to drive earnings improvement and warned of further downside amid the possibility that the CLARITY Act could remain pending.