Coinbase Stock Could Continue Ascent Higher Thanks to "Flywheel", Per Tech Analyst BTIG

Core Insights - Robinhood Markets has seen a remarkable 288.6% increase year-to-date, driven by strong trading revenues and growth from its Robinhood Gold subscription service, along with its recent addition to the S&P 500 [1] - BTIG has initiated coverage of Coinbase Global with a buy rating and a $410 price target, highlighting its strong subscription and services revenue as a key growth driver [2] - Coinbase is recognized for having the most comprehensive suite of products in the crypto space, with notable developments in stablecoin adoption, payments, and its new Base blockchain [2] Financial Performance - Coinbase generated nearly $1.5 billion in revenue in the latest quarter, with adjusted EBITDA of $512 million, and is projected to reach a record $7.318 billion in revenue for FY 2025 [4] - BTIG forecasts a 23% growth in Subscription and Services revenue for FY 2025, followed by an additional 14% in FY 2026, supported by staking rewards and the Coinbase One subscription service [3] Market Positioning - Coinbase's price-to-earnings ratio stands at 36x, making it cheaper than Robinhood (76x) and Interactive Brokers Group (36.3x), while being one of the few profitable domestic crypto firms [5] - The crypto industry remains volatile, with Bitcoin reaching new all-time highs, which may lead to cautious investor sentiment despite Coinbase's strong growth potential [6]