COIN Stock Down Over 8% Ahead Of Key Q4 Earnings – What’s Driving The Selloff?

Monness Crespi analyst has downgraded the Coinbase stock to ‘Sell’ from ‘Buy’ and said it is “again” cutting its estimates for Coinbase's Q4 earnings.

• Analysts at Wall Street are expecting Coinbase to report a revenue of $1.83 billion, as per data from fiscal.ai. The expectations are lower than what Coinbase reported in the year-ago quarter in its revenue.
• Wall Street expects the company to report profit of $1.01 per share, 78% down from the profit it reported in the year-ago quarter. 
• Earlier in the week, JPMorgan lowered the firm's price target on Coinbase to $290 from $399.

Coinbase (COIN) shares were down 8% on Thursday ahead of its key fourth quarter earnings due later on Thursday. 

The stock is further weighed by the rate action from Monness Crespi analyst who on Thursday has downgraded the Coinbase stock to ‘Sell’ from ‘Buy’ and said it is “again” cutting its estimates for Coinbase's Q4 earnings, as per TheFly. 

The firm said its prior assumption of a steady recovery over the course of calendar 2026 was "foolish" given the typical length and magnitude of crypto bear markets, and told investors that it now models softness through the first half of 2026. 

Q4 Expectations

Analysts at Wall Street are expecting Coinbase to report a revenue of $1.83 billion, as per data from fiscal.ai. The expectations are lower than what Coinbase reported in the year-ago quarter in its revenue. In Q4 of 2024, it reported revenue of $2.27 billion. 

Wall Street expects the company to report profit of $1.01 per share, down 78% from the profit it reported in the year-ago quarter. 

Cautious Wall Street

Earlier in the week, JPMorgan lowered the firm's price target on Coinbase to $290 from $399 and kept an ‘Overweight’ rating on the shares. The firm updated the company's model ahead of the Q4 report. It marked Coinbase's model to current crypto prices, as per TheFly. 

Citi also lowered the firm's price target on Coinbase to $400 from $505 and kept a ‘Buy’ rating on the shares. 

How Did Stocktwits Users React?

Retail sentiment around COIN stock trended in ‘bullish’ territory amid ‘high’ message volume.

One bearish user said that Coinbase’s earnings will destroy portfolios of investors who are holding Coinbase stock. 

https://stocktwits.com/Jduejene/message/644808048

Another user said that it is ‘illogical’ dropping to the level Coinbase’s stock has fallen.

https://stocktwits.com/BlackjackAces/message/644801992

Another user said that the stock is already cheap.

https://stocktwits.com/ZLtrdz/message/644800838

Shares in the company have fallen nearly 47% over the past year.