Analyst Mark Palmer of Benchmark Co. reiterated a Buy rating on Exodus Movement, Inc. Class A, retaining the price target of $58.00.
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Mark Palmer has given his Buy rating due to a combination of factors that highlight Exodus Movement, Inc.’s strong market positioning and potential for growth. One of the key reasons is the significant valuation discrepancy between Exodus and its peer, Gemini Space Station, which trades at a much higher price-to-sales multiple despite having similar revenues and less profitability. This suggests that Exodus is undervalued in comparison, offering a more attractive investment opportunity.
Additionally, Exodus boasts a larger user base with over 1.6 million monthly active users, compared to Gemini’s 523,000, indicating a stronger market presence. The company’s focus on stablecoin flows and merchant payments through its XO Pay platform positions it to be less susceptible to the volatility of the crypto market. Furthermore, Exodus’s revenue model, primarily driven by its exchange aggregation feature, provides competitive pricing and fast fulfillment, enhancing its appeal. These factors, combined with the potential for investors to recognize Exodus’s value in the digital asset infrastructure space, underpin Palmer’s Buy rating and the $58 price target.
Palmer covers the Financial sector, focusing on stocks such as Galaxy Digital, Hut 8, and Coinbase Global. According to TipRanks, Palmer has an average return of 13.0% and a 50.10% success rate on recommended stocks.