Goldman Sachs upgrades Coinbase stock to Buy

Ledger Goldman Sachs upgraded the stock rating of cryptocurrency exchange Coinbase from "Neutral" to "Buy," and raised the 12-month target price from $294 to $303.

Analyst James Yaro pointed out that Coinbase is shifting from cyclical growth to structural growth, with its subscription and services revenue share increasing from 5% in 2020 to 40% in 2025, and is expected to maintain a 13% annual growth rate from 2025 to 2027.

The firm believes that Coinbase's expansion in custody, stablecoins, staking, and prime brokerage will reduce earnings volatility.