Coinbase (COIN) Stock Price Rises 3% Ahead Q4 Earnings, What To Expect?

Coinbase (COIN) stock price has gained investors’ attention today with a surge of over 3% in the pre-market session. Notably, the latest surge comes as the market participants eagerly await the upcoming Q4 earnings results from the firm, which would provide cues on its financial health. In addition, recent reports suggesting the crypto exchange is exploring re-entering the Indian market have further bolstered market sentiment.

Coinbase Stock Soars 3% Ahead Q4 Earnings Results

As the financial sector, let alone the crypto market participants, eagerly awaits Coinbase Q4 earnings results, COIN stock price recorded a surge of over 3% in the pre-market session today. As of writing, the COIN stock price was up 3.01% and exchanged hands at $282.68 after closing at $274.90 in the prior session.

The $70.74 billion market cap firm saw a 52-week high and low of $349.75 and $137.13, respectively. On a YTD basis, the COIN stock price surged about 10% while rocketing more than 100% over the last 12 months.

Meanwhile, this pre-market session surge today comes as the market expects the firm to report robust earnings results for the final quarter of the year.

What To Expect From Coinbase’s Q4 Earnings?

Coinbase stock price soares pre-market as the company is scheduled to report its earnings results after the Wall Street closing bell today. According to Wall Street estimates, the crypto exchange is expected to witness a surge of over 90% in its Q4 revenue and an over 100% jump in its earnings per share on a year-over-year basis.

For context, Barrons has recently reported, citing FactSet data, that the leading crypto exchange is expected to report EPS of $2.11 in Q4 FY24, as compared to $1.04 in Q4 FY23. Simultaneously, the firm’s revenue is likely to come in at $1.84 billion, up from $954 million recorded in the last quarter of 2023

Plan To Re-Enter India

The recent surge in Coinbase stock price also comes amid reports that the American crypto exchange is planning to re-enter the Indian market. TechCrunch reported, citing sources, that the exchange is engaging with Indian authorities, including the Financial Intelligence Unit (FIU), to secure necessary approvals.

This move follows a tumultuous history in India, where the crypto exchange previously launched services in 2022 but was forced to suspend operations due to regulatory hurdles. With India’s growing web3 ecosystem, the exchange’s re-entry is expected to boost its international expansion efforts. The development has sent Coinbase’s stock price soaring, as investors bet on the company’s potential to tap into India’s vast market.

Coinbase Stock Soars As SEC Lawsuit Deadline Approaches

The latest advancement in the COIN stock price could be also due to the speculations of a potential pause in its legal battle against the US SEC. Notably, the Coinbase Vs SEC lawsuit centers on whether digital assets traded on the exchange qualify as securities.

However, with the recent pause in the Binance Vs SEC lawsuit, investors are expecting a similar development for Coinbase. Notably, the US SEC is facing a deadline on February 14 to respond to the firm’s request to appeal a key ruling in the case.

Meanwhile, the market anticipates a positive outcome this week in the case, as the US SEC is going through a major shift under Trump’s presidency. Having said that, such a move could further bolster the COIN stock’s appeal to investors, which in turn could further boost its price.

Meanwhile, it is also worth mentioning the bullish prediction that Bitwise made regarding Coinbase last year. The asset manager predicted that the top crypto exchange would surpass Charles Schwab as the most valuable brokerage in the world, and its stock would reach as high as $700.