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Investing.com - Needham has reiterated its Buy rating and $250.00 price target on Circle Internet Group (NYSE:CRCL), currently trading at $135.23 with a market capitalization of $34.5 billion, following the company’s Q2 2025 earnings report released on August 12, 2025. According to InvestingPro data, the stock has shown significant volatility recently.
The research firm noted Circle posted stronger-than-expected quarterly results, with USDC on platform and revenue from subscriptions and services exceeding estimates. The company generated revenue of $2.12 billion in the last twelve months. Needham’s analysis was delayed due to a transaction-related restriction.
Circle has introduced its own layer-1 blockchain called Arc, which will generate gas fees for Circle and other validators, payable in USDC. The new blockchain is Ethereum Virtual Machine (EVM) compatible, potentially creating long-term competition between Ethereum and Arc for USDC activity.
Needham has increased its 2025 revenue and EBITDA estimates for Circle, citing continued growth in USDC supply, increased USDC growth on Circle’s platform, and progress in "other" revenue streams.
The firm’s maintained $250 price target reflects its positive outlook on Circle’s expanding ecosystem and revenue diversification through its new blockchain initiative. InvestingPro analysis suggests the stock is currently overvalued, with analyst targets ranging from $84 to $280. Get deeper insights with InvestingPro’s comprehensive research report, available along with 14 additional ProTips for CRCL.
In other recent news, Circle Internet Group reported its first earnings as a public company, revealing a GAAP loss of $4.48 per share for the second quarter of 2025. This loss was largely attributed to IPO-related stock-based compensation and the fair value marking of convertible securities. Additionally, Circle has acquired Malachite, a consensus engine developed by Informal Systems, to support its upcoming Arc blockchain network, which is set to launch in testnet later this year. JPMorgan has adjusted its price target for Circle Internet Group to $89, up from $80, while maintaining an Underweight rating. Mizuho (NYSE:MFG), on the other hand, has reiterated an Underperform rating with a price target of $84, citing ongoing pressure on Circle’s stock price. Furthermore, Circle announced the pricing of its public offering at $130 per share, with plans to offer 2 million shares of Class A common stock. Selling stockholders are putting up an additional 8 million shares, and underwriters have a 30-day option to purchase up to 1.5 million more shares. These developments mark significant movements for Circle Internet Group in the financial markets.
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