Coinbase Q1 Earnings Report Looms—Wall Street Analysts Bearish, Stock May Extend Losses!

TradingKey – Coinbase (COIN) prepares to report earnings amid widespread pessimism, with strong technical indicators pointing to continued downside risk.

Coinbase (COIN), the world’s second-largest cryptocurrency exchange, is set to report its Q1 earnings after markets close on Thursday. However, market sentiment remains bearish due to sluggish crypto performance during the quarter, which likely hurt revenue and profitability.  

According to FactSet data, analyst estimates for Coinbase’s key metrics have declined significantly from Q4 2023:  

- Revenue: Expected to drop from $2.27B to $2.1B  

- EPS: Forecast to fall from $2.26 to $1.93  

- Trading Volume: Projected to shrink from $439B to $403.8B  

Wall Street firms have also slashed their estimates:  

- Oppenheimer cut its trading volume forecast from $440B to $380B  

- JPMorgan lowered its EPS estimate to $1.59  

- Barclays expects retail trading volume at just $69B, well below the consensus of $79.8B  

- Compass Point predicts transaction revenue of $1.24B, 7% below expectations  

Year-to-date, Coinbase shares have fallen over 20%, while Bitcoin (BTC) has gained more than 4%. Analysts warn that weak earnings could push the stock toward $140, though a positive surprise may reverse the current downtrend.  

Coinbase stock price chart, source: TradingView.