Coinspeaker
Coinbase App Takes First Position on Apple App Store, Analyst Says COIN Stock Will Continue to Underperform
Crypto exchange Coinbase (NASDAQ: COIN) has its mobile app on the top of the charts for the US Apple App Store. The Top Charts list on the Apple App Store shows that Coinbase’s mobile app became the most popular application across the US. With the top position, Coinbase overtook TikTok, YouTube, Facebook Inc (NASDAQ: FB), Instagram and Robinhood. At press time, however, Robinhood has surpassed Coinbase to top the chart. Coinbase is currently ranked 2nd in the US, according to the Top Charts list on the Apple App Store.
Coinbase App Sees 2 Million Downloads in April amid Increasing Popularity
The crypto company has been in the spotlight since the company’s public debut on Nasdaq in April. Coinbase has now attracted several new users globally. Data from analytics site SensorTower revealed that Coinbase had 2 million downloads in April.
Recently, Coinbase partnered with one of the world’s oldest and biggest auction houses Sotheby’s. The auction giant announced that it will start accepting Bitcoin and ETH as payment through Coinbase. Speaking in an interview with CNBC’s Squawk Box, Sotheby’s CEO Charles Stewart commented that the company has been considering crypto payment over some time.
Analyst Pegs Outperform Rating on COIN Stock
Executive director and senior analyst at investment firm Oppenheimer, Owen Lau, pegged an outperform rating on Coinbase. According to Lau, the ability of digital currencies to ease financial issues may be beneficial to Coinbase. Also, the analyst predicted that COIN stock could reach $434 over the next 12 to 18 months.
Speaking further, Lau advises that acquiring COIN stock is more suitable for long-term investors as the shares may be volatile in the near term.
Investment research firm New Constructs said in a recent statement that Coinbase shares will drop to $100 or less. At the time of writing, COIN is currently up 0.88% to $305.66 at pre-market trading. Coinbase stands at a market cap of $58.46 billion.
According to the Nashville-based investment firm, Coinbase shares may decline as the company is unlikely to meet expected profits. Expectedly, Coinbase will report its first earnings on the 13th of May.
In addition, the company and its CEO David Trainer believe that COIN shares will continue to underperform. In a research note to CoinDesk, Trainer said further on Coinbase shares:
“At current price… the stock’s valuation implies the company will exceed the combined revenue of International Exchange and Nasdaq. We do not expect [Coinbase] to report any news from 1Q21 that could justify owning shares at current levels.”
Trainer added that no earnings report “will be strong enough to convince investors the company will exceed the extraordinary expectations for profits already baked into the current price.”
Despite that Coinbase has advanced nearly 11% in the last five days, the company’s stock has lost 7.70% over the past month. Even as COIN plunged after peaking at $429 on its opening day, some investors remain bullish that the company’s shares will rebound.