Cryptocurrency bettors see a low probability that Coinbase Global Inc. (NASDAQ:COIN) will surpass second-quarter earnings expectations when it reports after the market close on Thursday.
Prediction Markets Pricing an Earnings Miss
Polygon (CRYPTO: POL)-based Polyamarket currently puts only a 5% chance on this outcome, down sharply from 50% barely ten days ago.
This market will resolve to “Yes” if Coinbase reports GAAP earnings per share greater than $0.03—the Street consensus estimate for the second quarter.
Coinbase is also expected to report $1.35 billion in revenue for the quarter, a 10% decline from the same period last year.
Current bias on COIN stock: Bearish or Bullish?
The COIN stock carried a consensus “Buy” rating, with 27 analysts setting an average price target of $287. What stands out is that six of the last seven ratings cut the price targets.
Meanwhile, short interest in the stock declined from 26.8 million to 24.90 million in a month, representing 11.3% of the company’s publicly available float. A drop in short interest is typically interpreted as a bullish signal.
It’s worth noting that insiders, who own 0.5% of Coinbase’s total shares outstanding, executed six sales worth $7.3 million in the last 90 days.
According to Coinglass data, Coinbase’s total trading volume in the second quarter was lower than in the first quarter.
Price Action: Coinbase shares were up 0.02% in overnight trading after closing 0.24% higher at $167.90 during Tuesday’s regular trading session, according to data from Benzinga Pro. Year-to-date, the stock has fallen 25%.
The COIN stock maintains a weaker price trend in the short, medium, and long term, according to Benzinga’s Edge Stock Rankings.
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