Cantor Initiates Coverage of Coinbase With Overweight Rating, Citing Undervalued Infrastructure Strength
Cantor Fitzgerald kicked off coverage of Coinbase (COIN) on Tuesday with an overweight rating and a $245 price target, highlighting the crypto exchange’s expanding role beyond just trading services. Following the report, shares of Coinbase rose more than 5% in early trading.
In their analysis, Cantor analysts Brett Knoblauch and Thomas Shinske emphasized that investors are underestimating Coinbase’s broader ecosystem, particularly its layer-2 blockchain Base and its strategic stablecoin partnership with Circle.
“These business lines are reshaping Coinbase’s profile—from a cyclical trading play to a foundational component of the crypto economy,” the analysts wrote. With Coinbase currently trading at a roughly 32% discount to historical valuation multiples, Cantor sees significant upside potential as the market catches up.
The firm believes investor sentiment will improve once earnings potential from Base and stablecoins becomes more visible. Base, Coinbase’s Ethereum Layer 2 network, is showing strong adoption and is generating a “flywheel effect,” where increased user activity translates directly into rising transaction revenues.
Cantor also pointed to stablecoins as a critical growth frontier, arguing the market is overlooking their ability to disrupt traditional finance, particularly in cross-border payments—a sector historically dominated by slow and costly banking infrastructure.
With these strategic pillars in place, Cantor considers Coinbase mission-critical infrastructure for the digital asset space, and well-positioned for long-term growth.
