03:00 PM EST, 11/25/2024 (MT Newswires) -- Coinbase Global ( COIN ) is likely to benefit from the incoming Trump administration which is perceived to be pro-cryptocurrencies, Oppenheimer said in a note emailed Monday.

The investment firm said it expects enforcement actions against the industry to "substantially reduce" as the next head of the US Securities and Exchange Commission is likely to be friendly towards crypto currencies. Current SEC Chair Gary Gensler, who will step down in January, was known to have a tough stance on the cryptocurrency industry.

Congress is also now likely to pass forward-looking legislation on cryptocurrencies that would legitimize the industry and make the legal boundary more predictable, according to Oppenheimer.

Combined with Trump's promise to create a strategic bitcoin stockpile, Coinbase could be looking at an "expansive upside" to its stock price as a result.

Oppenheimer said it was raising its Q4 earnings estimate for the crypto exchange to $1.27 from $0.25 previously. The firm also increased its fiscal 2025 earnings outlook to $5.48 from $2.03 and boosted it to $6.42 from $3.76 for fiscal 2026 to account for higher trading revenue. The investment firm also said that an inclusion of Coinbase in the S&P 500 could act as a potential catalyst in 2025/2026.

Oppenheimer reiterated an outperform rating on the stock and raised its price target to $358 from $265.

Coinbase shares were up nearly 2% in recent Monday trading.

Price: 309.75, Change: +5.11, Percent Change: +1.68