12:06 PM EDT, 07/22/2024 (MT Newswires) -- Coinbase Global's ( COIN ) long-term prospects are "highly underappreciated" amid increasing regulatory clarity, Oppenheimer said in a note.

"With increasing regulatory clarity, adoption and potential S&P 500 inclusion, we believe Coinbase's long-term thesis is highly underappreciated, given the massive attention on current volume and regulations," analysts Owen Lau and Guru Sidaarth said.

The analysts expect trading volume in Q2 to decrease by 31% compared to the previous quarter, but increase by 129% compared to the same quarter last year, reaching $211 billion. The average market capitalization of USDC is projected to rise to $32 billion in Q2 from $28 billion in Q1.

They are now expecting Q2 revenue, adjusted EBITDA, and earnings per share of $1.34 billion, $552 million, and $0.84 respectively, down from their previous estimates of $1.47 billion, $613 million, and $1.01.

Looking ahead, Mt. Gox and Germany selling pressure could offer an attractive entry point, the report said, adding that "the bad news near term could become good news longer term."

Oppenheimer has an outperform rating and a price target of $282 on Coinbase Global ( COIN ).

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