Coinbase Shares Remain Rangebound: B Riley By Investing.com

Investing.com — B Riley analysts initiated coverage on Coinbase (NASDAQ: ) with a neutral rating on Wednesday, expressing optimism about the crypto exchange but pointing to valuation issues and regulatory uncertainty.

The firm set a 12-month price target of $185, based on a 50x multiple of its 2025 EPS estimate.

“COIN is the industry leader and a trusted platform for institutions and individuals to invest and trade in the growing digital currency economy,” wrote B Riley.

The analysts highlighted Coinbase’s unique position as both a first mover in the shift towards digital assets and “a well-capitalized scale operator” within the capital markets sector.

B Riley emphasized the broader trend of cryptocurrency adoption, describing it as “a once-in-a-generation global shift” from traditional fiat money to networked currencies. However, the firm cautioned that this transition is still in its early stages.

The report also noted that Coinbase’s earnings have historically been volatile, driven by the platform’s strong correlation with digital asset prices such as .

“Since going public, COIN’s EPS strength has been volatile, swinging from strong profits to losses and vice versa,” said B Riley.

Despite Coinbase’s leadership in the crypto space, B Riley expects the stock to trade within a tight range for the foreseeable future.

“We expect COIN stocks to remain range-bound until the election is decided and regulatory clarity is provided, or until better idiosyncratic catalysts emerge that provide visibility to more consistent earnings growth,” the analysts explained.

Given these uncertainties, B Riley’s neutral stance reflects a wait-and-see approach as investors seek more stable earnings growth and clearer regulatory signals for the crypto sector.