EXOD's Swap and Transaction Volumes Grow: What's Ahead for the Stock?

Core Insights - Exodus Movement (EXOD) is experiencing rapid growth as a self-custodial wallet and Web3 financial services provider, with revenues increasing by 51% year-over-year due to rising digital asset prices in 2025 [1] - The company reported an 82% year-over-year growth in swap volume in Q3 2025, with 28% of this volume coming from B2B swaps [1] Revenue and Growth - The increase in trading activity, user engagement, and strong partner traction has significantly contributed to EXOD's growth [2] - EXOD's partner strategy, which provides access to multi-chain liquidity without the need for partners to build their own infrastructure, is expanding rapidly, adding 16 new partners in Q3 2025, with 10 already paying [2] Market Expansion - EXOD's acquisition of Grateful allows it to enter the high-growth Stablecoin payments market, enabling instant merchant settlements and lower transaction fees, while also planning to expand into the Argentinian and Uruguayan markets [3] - The company currently holds $315 million in digital and liquid assets, providing a robust balance sheet with no debt [3] Market Potential - With a cryptocurrency market cap exceeding $3 trillion and stablecoin transaction volumes at $26 trillion, EXOD is positioned to benefit from this substantial total addressable market [4] Competitive Landscape - EXOD faces competition from digital asset exchanges and FinTech companies like Coinbase, Robinhood, and PayPal, which offer self-custodial wallet solutions and crypto trading services [5][6] Financial Performance - EXOD shares have declined by 48.4% over the past year, underperforming the Zacks Internet – Software industry, which grew by 0.6% [7] - The company trades at a price-to-book ratio of 1.41X, which is lower than the industry average of 5.92X, indicating potential undervaluation [8][9] Earnings Estimates - The Zacks Consensus Estimate for EXOD's 2025 earnings suggests a year-over-year growth of 3.5%, with recent upward revisions in estimates over the past 30 days [10]