Summary
- Coinbase and Robinhood are focusing on prediction markets and product expansion as future growth drivers, the report said.
- In the near term, first-quarter cryptocurrency trading results and revenue may be weak, but prediction markets and tokenization could help diversify revenue streams.
- Cantor Fitzgerald maintained an Overweight rating on both companies and raised their price targets to $250 and $110, respectively.
Forecast Trend Report by Period
Coinbase Global Inc. and Robinhood Markets Inc. are drawing attention for prediction markets and broader product expansion as potential next growth drivers, even as near-term earnings momentum softens.
CoinDesk reported on April 21 that Cantor Fitzgerald analyst Ramsey El-Assal expects both companies to post weak cryptocurrency trading results in the first quarter.
Revenue may be soft in the short term, but investors are focused on future growth areas such as prediction markets, he wrote. He also said prediction markets and tokenization could help diversify revenue streams.
Cantor Fitzgerald maintained its Overweight ratings on Coinbase and Robinhood and raised their price targets to $250 and $110, respectively.
Investors are watching whether expansion beyond a trading-fee-based model into new business lines will lift the companies' valuations.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
