Cowen downgrades Coinbase as crypto companies face elevated scrutiny after FTX implosion

  • 📰 CNBC
  • ⏱ Reading Time:
  • 21 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 12%
  • Publisher: 72%

Business News News

Business Business Latest News,Business Business Headlines

It's time to take a pause on shares of Coinbase as the company faces potential scrutiny in the wake of FTX's blowup, Cowen said.

It's time to take a pause on shares of Coinbase as the company faces potential scrutiny in the wake of FTX's blowup and retail trading volumes decline, Cowen said. Analyst Stephen Glagola downgraded shares of the crypto exchange operator to market perform from outperform, citing a difficult macro backdrop and FTX-fueled crypto concerns unlikely to subside near term.

" Coinbase shares plummeted 86% in 2022, slumping 34% alone since FTX filed for bankruptcy in November . That's in part due to the stock's heavy correlation to crypto asset prices, which have declined significantly. A consistent drop-off in trading volumes that began over a year ago is another factor weighing on shares, with Glagola expecting another round of layoffs this year to help cut costs.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in BUSÄ°NESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Ether, altcoins higher as solana soars 14%, Coinbase gains pre-market after Tuesday's dropCrypto prices were higher today, while Coinbase gained in pre-market trading to recoup some of Tuesday's losses. The Fed's latest meeting minutes from December will be released at 2 p.m. EST.
Source: TheBlock__ - 🏆 464. / 53 Read more »