Deutsche Bank initiates coverage on Bullish stock with Hold rating

Published 08/09/2025, 12:56
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Investing.com - Deutsche Bank initiated coverage on cryptocurrency exchange Bullish (NYSE:BLSH) with a Hold rating and a price target of $51.00 on Monday. The stock, currently trading at $52.35 with a market capitalization of $7.65 billion, has experienced significant volatility recently, with InvestingPro data showing an 11% decline in the past week.

The investment bank views Bullish as "well-positioned to generate strong long-term EBITDA and EPS growth" due to increasing institutional and retail cryptocurrency adoption, along with what it describes as a "well-designed, synergistic business model" and management team with traditional finance experience. The company maintains a strong liquidity position with a current ratio of 15.98, though it currently operates with thin gross profit margins of 0.07%.

Deutsche Bank analysts project that Bullish could nearly double its recurring fee revenue in 2026 compared to 2025, with EBITDA margins potentially expanding from approximately 20% currently to over 40% by the second half of 2026.

The firm forecasts adjusted EBITDA growth exceeding 50% on a three-year compound annual growth rate basis from 2024 to 2027, heavily dependent on successful expansion into the U.S. market expected to begin in the fourth quarter of 2025.

Despite the positive long-term outlook, Deutsche Bank recommends investors wait for "a better entry point before starting a position in the shares" due to potential near-term variability in trading results ahead of the company’s U.S. expansion efforts. For deeper insights into BLSH’s valuation and 8 additional key metrics, check out InvestingPro.

In other recent news, Bullish, a cryptocurrency exchange, has secured a significant regulatory milestone by obtaining a license under the Markets in Crypto-Assets Regulation (MiCAR) from Germany’s BaFin. This license enables Bullish to offer digital asset trading and custody services across the European Union, expanding its operational capabilities beyond the previous grandfathered licenses. In terms of analyst coverage, several firms have initiated ratings on Bullish. Rosenblatt Securities gave Bullish a Buy rating with a $60 price target, citing the favorable U.S. political environment as a positive factor for the crypto sector. Jefferies, on the other hand, initiated coverage with a Hold rating and a $49 price target, describing Bullish as an attractive growth story due to rising institutional demand. JPMorgan provided a Neutral rating with a $50 price target, expressing confidence in the management’s ability to navigate the complexities of the crypto ecosystem. Bernstein SocGen Group also weighed in with a Market Perform rating and a $60 price target, projecting that Bullish could become the second-largest institutional exchange after Coinbase, contingent on its U.S. business launch in 2026. These developments reflect the growing interest and varied perspectives of analysts on Bullish’s potential in the cryptocurrency market.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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