Bernstein has reaffirmed its buy rating on Coinbase and maintained a $330 price target after the company unveiled a series of new products designed to extend its business beyond crypto trading.
Summary
- Bernstein maintained a buy rating on Coinbase and kept its $330 price target after the System Update event.
- Coinbase unveiled AI-powered trading tools, prediction markets, tokenized stocks, and pre-IPO trading products.
- Barclays stayed bearish with a $107 target, while Benchmark and Cantor Fitzgerald remained bullish.
According to Bernstein, the latest announcements from Coinbase’s System Update event support its long-term bullish view on the company despite a sharp reduction from its earlier $440 target following the broader crypto market downturn.
Bernstein continues to see substantial upside in Coinbase shares, citing growth opportunities across stock trading, stablecoin infrastructure, blockchain services, custody, and institutional products.
Coinbase shares traded higher on Wednesday, rising about 1.6% to around $171.93 after closing 0.2% lower at $169.27 in the previous session. While investors continued monitoring the Federal Reserve’s policy decision and the outlook for interest rates, several Wall Street firms reassessed Coinbase’s latest product expansion and long-term growth strategy.
Coinbase adds AI tools and traditional market products
During its System Update event, Coinbase introduced an SEC-registered AI investment advisor that can access customer portfolio data and account history. According to Coinbase Chief Executive Officer Brian Armstrong, users will be able to interact with the advisor through natural language prompts and receive portfolio suggestions directly through the platform.
The company also announced that artificial intelligence agents can now connect directly to Coinbase. Using systems such as ChatGPT and Claude, customers can establish trading parameters and authorize AI-powered agents to execute trades on their behalf.
Alongside the AI products, Coinbase revealed plans to expand access to derivatives, prediction markets, and pre-IPO trading products tied to large private technology companies. The rollout follows the exchange’s recent announcement that it intends to launch tokenized stocks backed one-for-one by underlying shares.
According to Coinbase, the initiatives form part of its effort to develop what it describes as an “Everything Exchange,” combining crypto services with products traditionally associated with mainstream financial markets.
Analysts remain divided on Coinbase valuation
Not all Wall Street firms share Bernstein’s optimism. Following the same product event, Barclays reiterated its underweight rating and maintained a $107 price target on Coinbase shares.
According to Barclays, new offerings including tokenized equities, AI-powered advisory services, equity options, and agentic payments are unlikely to fully compensate for weaker crypto trading activity if market volumes remain subdued.
Elsewhere, Benchmark reiterated its buy rating and set a $270 price target. Benchmark analyst Mark Palmer argued that Coinbase is evolving beyond its role as a cyclical crypto brokerage and is building a platform capable of attracting demand from traditional financial markets.
Cantor Fitzgerald also maintained its overweight rating and kept its $250 price target unchanged. According to the firm, Coinbase’s continued product development during a challenging market environment strengthens its competitive position, although analysts cautioned that fluctuations in crypto asset prices could still create cyclical headwinds.
At the same time, broader market conditions remain a factor for Coinbase and other crypto-related stocks. Bitcoin briefly fell below $65,000 ahead of the Federal Reserve’s policy decision, while stronger-than-expected retail sales data reinforced expectations that policymakers could keep interest rates elevated for longer.
