Coinbase Price Target Trimmed Ahead of Product Event (NASDAQ:COIN)

Coinbase's stock (NASDAQ: COIN) is facing fresh scrutiny this morning, as Compass Point lowered its price target on the stock ahead of a highly anticipated product event scheduled for December 17, 2025. The adjustment reflects concerns about the company’s valuation in a volatile crypto market, setting the stage for a potentially pivotal moment for the cryptocurrency exchange.

Coinbase shares are currently trading around $267.63, a slight dip of 0.06% in the pre-market session. The stock's performance reflects broader market uncertainties surrounding crypto assets and specific investor anticipation regarding the upcoming product event. This event, dubbed a ‘System Update,' is slated to reveal significant product announcements and business updates, stirring both excitement and caution among markets.

Compass Point reduced its price target on Coinbase to $230 from $266, maintaining a “Sell” rating on the shares. This decision was influenced by the firm's assessment that softer crypto market conditions are likely to impact Coinbase's financial performance, leading to a downward revision of 2026 forecasts.

The firm also noted that Q4 revenue is tracking approximately 5% below consensus estimates, further underpinning their cautious outlook.

The upcoming product event has drawn comparisons to a similar event hosted by Robinhood (HOOD) in June, which catalyzed a substantial rally in Robinhood's stock. Markets are now questioning whether Coinbase's event can provide a similar boost.

Speculation suggests potential announcements related to tokenized equities and prediction markets, aiming to integrate traditional finance with blockchain technology. However, Compass Point analysts express skepticism about the immediate impact of these announcements on Coinbase's profitability, suggesting that the event may disappoint investor expectations if the new products do not swiftly translate into revenue gains.

Analysts are closely watching the December 17 event to determine its potential to bolster Coinbase's service offerings and overall market position. 

Coinbase's upcoming product event represents a important juncture for the company. With Bitcoin down 4.13% YTD against the USD, and the broader crypto market pulling back from highs, COIN has managed to outperform the sector, up 4% since the turn of 2025.