Coinbase Q1 2024 Earnings Preview: Discordant Expectations Divide Crypto Community and Analysts

Coinbase is set to release its Q1 2024 financial results on May 2, with analysts and the crypto community holding divergent expectations. Crypto experts predict strong performance, estimating revenue of $1.5 billion, surpassing analyst estimates of $1.2 billion. Coinbase has consistently outperformed earnings and revenue forecasts in the past four quarters.

Coinbase Poised to Unveil Q1 2024 Financials: Crypto Community and Analysts Engage in Discordant Forecasting

As Coinbase prepares to disclose its first-quarter 2024 financial results, a chasm of expectations has emerged between the crypto community and traditional investment analysts.

Crypto Community's Optimistic Outlook

Kunal Goel, a researcher at crypto intelligence firm Messari, asserts that his Coinbase revenue projections have consistently outperformed consensus analyst estimates over the past three quarters.

In a recent Cointelegraph report, Goel predicts a robust $1.5 billion in net revenue for Coinbase in Q1 2024, representing a significant 65% quarterly growth. His estimate eclipses the broader consensus projection of $1.2 billion in gross revenue.

Analysts' Measured Approach

Zack's Equity Research highlights that Coinbase has surpassed consensus earnings-per-share (EPS) and revenue estimates in each of the past four quarters.

However, Tipranks indicates a more nuanced assessment among 24 consensus analysts covering Coinbase (COIN). While nine recommend "buy," 11 suggest "hold," and three advise "sell."

Former Polygon CFO: A Potential Earnings Surprise

Young Ko, the former CFO of Polygon Labs, expresses confidence that Coinbase's earnings will "blow out estimates."

In an April 24 X post, Ko cites several catalysts that could further bolster Coinbase's momentum ahead of the May 2 earnings announcement. These include potential success in its lawsuit against the U.S. Securities and Exchange Commission (SEC) and positive reports on revenue from its layer-2 Ethereum protocol, Base.

Crypto Commentators' Enthusiasm

Crypto commentator Snow anticipates Coinbase's performance to "blow away Street estimates." Snow emphasizes that a combination of a strong Q1 performance and robust Q2 trading revenue could create significant market excitement.

Meanwhile, 0xCristian, another crypto commentator, believes the success of Base will positively impact Coinbase's Q1 2024 earnings. He highlights the significant volume seen on Base and the Coinbase wallet in Q1 and predicts a notable earnings beat that could positively impact the stock price.

Disclaimer

This article serves as an informative piece and does not provide investment advice or recommendations. Investment and trading decisions should be made after thorough research and consultation with qualified financial professionals.