Brokerage firm Bernstein has updated its outlook on Coinbase, Robinhood, and Circle ahead of the third-quarter earnings season. While maintaining an Outperform rating for all three companies, the firm adjusted its financial forecasts to reflect shifting revenue sources within the crypto sector.
Bernstein lowered its earnings forecast and price target for Coinbase. Conversely, the firm raised revenue estimates for Robinhood, citing growth in derivatives and prediction markets, which now offset slower spot trading volumes. Robinhood's integration with the Kalshi platform has notably contributed to this revenue shift.
Circle received an improved earnings outlook, driven by the company's position in the stablecoin market and the growth of USDC supply. Bernstein highlights prediction markets, derivatives, and tokenization as the primary drivers of future growth, moving beyond traditional crypto trading.
The report suggests that investors should focus on non-trading revenue streams rather than raw volume figures during the upcoming earnings reports. While tokenization is viewed as a long-term infrastructure play, the immediate performance of these firms will depend on scaling new business lines.
