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COIN

Coinbase GlobalNasdaqGS:COIN Stock Report

Market Cap

US$51.0b

7D

-2.3%

1Y

n/a

Updated

23 Sep, 2021

Data

Company Financials +
COIN fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance3/6
Financial Health5/6
Dividends0/6

COIN Overview

Coinbase Global, Inc. provides financial infrastructure and technology for the cryptoeconomy.

Coinbase Global Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Coinbase Global
Historical stock prices
Current Share PriceUS$237.50
52 Week HighUS$208.00
52 Week LowUS$429.54
Beta0
1 Month Change-8.40%
3 Month Change5.77%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO-27.65%

Recent News & Updates

Sep 21
Coinbase (NASDAQ:COIN) will Grow but Profitability may Decline Because of These Factors

Coinbase (NASDAQ:COIN) will Grow but Profitability may Decline Because of These Factors

Coinbase Global, Inc. (NASDAQ:COIN) is a profitable young growth company that was listed in April 2021. After the massive sellout from management and members of the board of directors, investors are interested in the future of the company and its performance as a stock.

Sep 16

Can Coinbase Survive Competition?

Coinbase's largely unregulated business model of collecting inflated trading fees may be in trouble, as competition for crypto trading capital heats up. A feeding frenzy of low fees/commissions for crypto trading is beginning, with new offerings from established Wall Street brokerage houses. COIN's IPO at the peak of crypto pricing in the spring of 2021 may be akin to the ill-fated public deals of the Dotcom era in 1999-2000.

Sep 03

Where Will Coinbase Stock Be In 5 Years? More Likely To Be Higher Than Lower

Coinbase made its debut on Nasdaq last April, and the stock has been very volatile since the very first day. Investors, in my opinion, need to evaluate the macroeconomic outlook for cryptocurrencies to gauge a measure of where Coinbase is headed. Volatility is not an accurate measure of investment risk, and I believe Mr. Market is yet to appreciate the diversification strategy deployed by Coinbase.

Aug 27

Coinbase: Much More Than Just A Bitcoin Trading Platform

Coinbase appears to be a crypto play, following the whims of the crypto market. However, the company is playing the field with great intelligence. Positioning to be more than just a crypto marketplace. The underlying trends of the business suggest much more than what has been baked into the stock price.

Shareholder Returns

COINUS Capital MarketsUS Market
7D-2.3%-0.6%-0.5%
1Yn/a68.1%37.5%

Return vs Industry: Insufficient data to determine how COIN performed against the US Capital Markets industry.

Return vs Market: Insufficient data to determine how COIN performed against the US Market.

Price Volatility

Is COIN's price volatile compared to industry and market?
COIN volatility
COIN Beta0
Industry Beta1.19
Market Beta1

Stable Share Price: COIN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: Insufficient data to determine COIN's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
20122,176Brian Armstronghttps://www.coinbase.com

Coinbase Global, Inc. provides financial infrastructure and technology for the cryptoeconomy. It offers the primary financial account in the cryptoeconomy for retail users; a marketplace with a pool of liquidity for transacting in crypto assets for institutions; and technology and services that enable ecosystem partners to build crypto-based applications and securely accept crypto assets as payment. The company was founded in 2012 and is based in Wilmington, Delaware.

Coinbase Global Fundamentals Summary

How do Coinbase Global's earnings and revenue compare to its market cap?
COIN fundamental statistics
Market CapUS$51.01b
Earnings (TTM)US$1.78b
Revenue (TTM)US$4.93b

28.2x

P/E Ratio

10.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
COIN income statement (TTM)
RevenueUS$4.93b
Cost of RevenueUS$0
Gross ProfitUS$4.93b
ExpensesUS$3.15b
EarningsUS$1.78b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)16.69
Gross Margin100.00%
Net Profit Margin36.02%
Debt/Equity Ratio38.4%

How did COIN perform over the long term?

See historical performance and comparison

Valuation

Is Coinbase Global undervalued compared to its fair value and its price relative to the market?

8.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: COIN ($237.5) is trading below our estimate of fair value ($258.54)

Significantly Below Fair Value: COIN is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: COIN is poor value based on its PE Ratio (28.2x) compared to the US Capital Markets industry average (14.8x).

PE vs Market: COIN is poor value based on its PE Ratio (28.2x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: COIN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: COIN is good value based on its PB Ratio (10.8x) compared to the US Capital Markets industry average (61.3x).


Future Growth

How is Coinbase Global forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

-17.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: COIN's earnings are forecast to decline over the next 3 years (-17.8% per year).

Earnings vs Market: COIN's earnings are forecast to decline over the next 3 years (-17.8% per year).

High Growth Earnings: COIN's earnings are forecast to decline over the next 3 years.

Revenue vs Market: COIN's revenue (1.5% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: COIN's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: COIN's Return on Equity is forecast to be high in 3 years time (23.9%)


Past Performance

How has Coinbase Global performed over the past 5 years?

686.3%

Last years revenue growth


Earnings and Revenue History

Quality Earnings: COIN has high quality earnings.

Growing Profit Margin: COIN became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if COIN's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare COIN's past year earnings growth to its 5-year average as it has been trading publicly for less than 3 years.

Earnings vs Industry: COIN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (77.4%).


Return on Equity

High ROE: COIN's Return on Equity (57%) is considered outstanding.


Financial Health

How is Coinbase Global's financial position?


Financial Position Analysis

Short Term Liabilities: COIN's short term assets ($14.2B) exceed its short term liabilities ($9.7B).

Long Term Liabilities: COIN's short term assets ($14.2B) exceed its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: COIN's debt to equity ratio (38.4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if COIN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: COIN's debt is well covered by operating cash flow (550.3%).

Interest Coverage: COIN earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Coinbase Global current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate COIN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate COIN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if COIN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if COIN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of COIN's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.3yrs

Average management tenure


CEO

Brian Armstrong (38 yo)

9.33yrs

Tenure

US$59,472,256

Compensation

Mr. Brian Armstrong is co-founder of Coinbase Global, Inc and has been its Chief Executive Officer and Director since May 2012 and its Chairman since February 2021. Mr. Armstrong served as a software engin...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD59.47M) is above average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: Insufficient data to compare Brian's compensation with company performance.


Leadership Team

Experienced Management: COIN's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: COIN's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: COIN only recently listed within the past 12 months.


Top Shareholders

Company Information

Coinbase Global, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Coinbase Global, Inc.
  • Ticker: COIN
  • Exchange: NasdaqGS
  • Founded: 2012
  • Industry: Financial Exchanges and Data
  • Sector: Diversified Financials
  • Market Cap: US$51.013b
  • Shares outstanding: 210.93m
  • Website: https://www.coinbase.com

Number of Employees


Location

  • Coinbase Global, Inc.
  • 1209 Orange Street
  • Wilmington
  • Delaware
  • 19801
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/23 23:08
End of Day Share Price2021/09/23 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.