Coinbase rally on November volume bounce ‘excessive,’ says TD Cowen

TD Cowen analyst Stephen Glagola estimates Coinbase’s November spot volume bounce will drive “at most” an incremental $122M of EBITDA to the firm’s Q4 estimate and calls the $11.5B of added market cap since November 3 “an excessive capitalization off this move” given limited visibility on trading durability and the possibility for a lower take-rate mix shift. The Binance settlement with the DOJ hasn’t driven any material impact to Coinbase’s futures volume currently, added the analyst, who keeps an Underperform rating and $39 price target on Coinbase shares.