Crypto Exchange Coinbase Assigned Sell-Equivalent Stock Rating by Wells Fargo on Competition Risk

Wells Fargo rated Coinbase as underweight and said it will face headwinds in its path to sustaining profitability.

AccessTimeIconSep 29, 2022 at 3:12 p.m. UTC
Updated May 11, 2023 at 5:53 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Coinbase Global (COIN) was assigned an underweight stock recommendation by Wells Fargo Thursday as the bank sees increased global competition eating into the crypto exchange's market share and lower retail fees eroding profitability.

The company's path to sustainable profitability will be challenging given the above dynamics, and effects of the so-called crypto winter will remain, analyst Jeff Cantwell told clients in a research note.

Wells Fargo gave Coinbase a $57 price target. The shares are trading around $61 Thursday morning.

Cantwell also initiated research coverage on miner Riot Blockchain (RIOT) with an equalweight rating and $7 price target. The bank cited the crypto winter, regulation and macroeconomic headwinds.

Wells Fargo also gave digital asset platform Bakkt (BKKT) an equalweight rating, setting a $2.50 price target. Bakkt is facing a tough macroeconomic environment, Wells Fargo wrote.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.

Author placeholder image

Michael Bellusci is CoinDesk's crypto reporter focused on public companies and digital asset firms.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.