Intel stock spikes after report of possible US government stake
Investing.com - Baird lowered its price target on Circle Internet Group (NYSE:CRCL) to $185.00 from $210.00 on Wednesday, while maintaining a Neutral rating on the stock. The company, currently valued at $37.15 billion, trades at a substantial P/E ratio of 509x, according to InvestingPro data.
The new price target represents 67 times Baird’s 2027 estimated non-GAAP earnings per share of $2.72 for the company.
Baird explained that the 68 times multiple applied to Circle Internet Group reflects a mild premium compared to its price targets for Toast and Paymentus, which are set at approximately 44-52 times 2027 estimated GAAP earnings per share.
The firm justified this premium by noting that Circle’s underlying growth driver is USDC outstanding, with expected 40% CAGR growth through a cycle, faster than the approximately 25% growth from Toast and Paymentus.
Baird also cited Circle’s broader set of potential investors across different sectors of institutional and retail investors, though this is partially offset by greater potential for volatility around outstanding USDC, rate impacts, and sentiment effects.
In other recent news, Circle Internet Group reported its second-quarter 2025 earnings, which highlighted strong revenue growth despite a negative earnings per share of -4.48 USD. The company’s stock initially surged in premarket trading following the earnings announcement. Circle Internet Group also announced a public offering of 10 million shares of its Class A common stock, with 2 million shares offered by the company and 8 million by selling stockholders. The offering includes an option for underwriters to purchase an additional 1.5 million shares. Following this announcement, the stock experienced a 7% decline. Analysts at Mizuho have lowered their price target for Circle Internet Group to $84, maintaining an Underperform rating. Meanwhile, Tiger Securities also reduced their price target to $180, citing concerns over margin pressure. These developments reflect ongoing investor interest and analyst scrutiny of Circle Internet Group’s financial performance and strategic decisions.
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