COIN & HOOD Earnings: Will Higher Crypto Volumes Provide Tailwinds?

Core Viewpoint - The 2024 Q4 earnings season is showing strong results, particularly for companies like Robinhood (HOOD) and Coinbase (COIN), driven by increased crypto trading volumes [1] Group 1: Robinhood (HOOD) - HOOD shares have gained over 50% since the start of the year, significantly outperforming the S&P 500, aided by a positive finance sector performance [2] - Analysts have raised the EPS estimate for HOOD to $0.42, reflecting a nearly 70$941 million, up from $671 million last November, indicating nearly 100$311 million, which is nearly 630% higher year-over-year [5] - Monthly active users and assets under custody are key metrics to monitor, with expected increases due to a favorable trading environment [9] Group 2: Coinbase (COIN) - Coinbase, the largest U.S. cryptocurrency exchange, has a bullish outlook with the Zacks Consensus EPS estimate at $0.87, up 50$1.6 billion, reflecting a nearly 30% increase and suggesting 70% year-over-year growth [11] - The Zacks Consensus estimate for Coinbase's transaction-based revenue is $934 million, indicating a 75% year-over-year growth despite mixed results in recent periods [13] Group 3: Overall Market Sentiment - Both Robinhood and Coinbase are positioned to benefit from the recent uptick in crypto trading and prices, with analysts becoming increasingly bullish on their earnings expectations [14]