Coinbase (NASDAQ:COIN) was lifted to Outperform with a price target of $160 per share by Oppenheimer analysts in a note Friday.
Analysts told investors they see multiple catalysts supporting the cryptocurrency exchange's fundamentals.
"Our upgrade is based on our thesis that 1) either COIN will prevail in SEC lawsuit or the court will dismiss it; 2) Spot Bitcoin ETF is a net positive; 3) COIN's fundamentals are in upward trajectory; 4) prospects for positive GAAP EPS in 4Q23 or early 2024; and 5) multiple near- and long term catalysts," explained analysts.
With Coinbase shares down 35% since December 28, Oppenheimer now believes the risk/reward trade-off could be more attractive. In addition, they feel the company is stronger than many people realize and that the management team is "tougher than most investors think."
"The stock was under extreme scrutiny during crypto winter. While many peers went under, COIN is still standing and fighting for its businesses and the industry," the analysts added.