The Coinbase (NASDAQ:COIN) IPO is creeping ever closer and one analyst thinks that the crypto exchange company is worth much more than previously thought.
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D.A. Davidson analyst Gil Luria updated his price target for COIN stock to $440 before shares even start trading. Adding to that, this is a massive jump over the analyst’s previous price target of $195 per share for the stock.
It’s also worth pointing out that the D.A. Davidson analyst set COIN stock up with a buy rating when first covering the company. That rating doesn’t change with the new price target issued today.
So why is Luria so bullish on COIN stock? It all has to do with preliminary results for Q1. The analyst says that the strong earnings news shows that the company has a “terrific setup” as it prepares for its IPO next week, reports Seeking Alpha.
InvestorPlace’s Sarah Smith went over the Coinbase Q1 results in great detail. She notes that the company saw its revenue increase from $190.6 million in the same period of the year prior to $1.8 billion in Q1 2021. Another highlight is the company’s net income range for Q1 2021 coming in between $730 million and $800 million. As compared to $31.9 million in 2020.
With the Coinbase IPO getting closer, investors likely want to know more about what’s in store, such as how it will go public, when it will go public, and what price shares will be. We can help with some of those questions.
Coinbase isn’t using a typical IPO to go public. Instead, the company is going to use a direct offering for its shares. This will have its shares hitting the public market on April 14. The one thing we don’t know is what price the company is planning for COIN stock.
Investors searching for more IPO news need look no further.
InvestorPlace.com has been keeping up with new companies going public and there are quite a few worth noting. That includes Roblox (NYSE:RBLX), Compass (NYSE:COMP), and Altimeter Growth (NASDAQ:AGC). Investors can learn more about this news below.
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
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