Barclays analyst Benjamin Budish estimates Coinbase processed roughly $152 billion of trading volume during the quarter, well below the Street’s expectation of about $178 billion. He expects adjusted EBITDA to come in roughly 3% below consensus, pointing to weaker blockchain rewards and institutional trading revenue.
Clear Street’s Owen Lau also lowered estimates, projecting approximately $160 billion in trading volume and $301 million in adjusted EBITDA after weaker-than-expected retail activity.
Benchmark’s Mark Palmer similarly reduced his EBITDA forecast to $377 million, while Compass Point expects revenue to slightly miss consensus but believes EBITDA will be roughly in line with expectations.
Coinbase still rises and falls with crypto trading activity, a dependency that has become more apparent over the past year. The company has spent heavily to diversify revenue through stablecoins, derivatives, payments, tokenization and its…
