Zacks Investment Ideas feature highlights Robinhood and Coinbase

For Immediate ReleaseChicago, IL – February 12, 2025 – Today, Zacks Investment Ideas feature highlights Robinhood HOOD and Coinbase COIN.COIN & HOOD Earnings: Higher Crypto Volumes to Provide Headwinds?The 2024 Q4 earnings season has turned out to be highly positive so far, with a nice chunk of companies providing solid results and positive commentary surrounding upcoming periods.This week’s reporting docket is filled with many notable companies, a list that includes Robinhood and Coinbase. Both companies’ results are likely to see an uptick thanks to the melt-up in crypto trading volumes over recent months.Let’s take a closer look at what to expect.Robinhood Shares SoarHOOD shares have started the year off hot, gaining more than 50% and widely outperforming relative to the S&P 500. A favorable showing from the broader finance sector in the Q4 cycle has helped keep shares trading higher, with the stock also sporting the highly-coveted Zacks Rank #1 (Strong Buy).Analysts have become notably bullish for the upcoming release, with the $0.42 per share estimate up nearly 70% over recent months and suggesting 1300% year-over-year growth.Top line revisions have also been notably bullish, with the $941 million in sales expected up big from the $671 million expected back in last November. Sales are forecasted to climb nearly 100% year-over-year, continuing its growth streak nicely.HOOD has posted double-digit percentage year-over-year sales growth rates in each of its last seven releases.As expected, the company’s crypto results will be a big focal point of the release. For the period, the Zacks Consensus estimate for HOOD’s transaction-based crypto revenue stands at $311 million, nearly 630% higher year-over-year.The growth here is massive, fully reflective of the above-mentioned crypto frenzy that’s emerged. The company has struggled to consistently exceed expectations on this metricMonthly active users will again be an important metric to watch, with assets under custody also reflecting a key item. It’s reasonable to see decent-sized upticks in these metrics given the favorable trading environment overall, not just for crypto.Analysts Get Bullish on CoinbaseCoinbase is the largest U.S. cryptocurrency exchange, with the stock much more sensitive to the crypto market relative to HOOD. The outlook for the quarter to be reported has remained bullish, with the $0.87 Zacks Consensus EPS estimate up 50% over recent months.Like HOOD, top line revisions for Coinbase have also been bullish, with the $1.6 billion expected up nearly 30% over recent months and suggesting 70% year-over-year growth. Sales growth has been rock-solid over recent periods, growing by double-digit percentages in five consecutive periods.It’s worth noting here that COIN’s transaction-based revenue results have been mixed over recent periods, with the company falling short in its latest release and snapping a previous streak.Still, big growth is expected to follow through amid the hot trading environment, with the Zacks Consensus estimate of $934 million reflecting 75% year-over-year growth.Bottom LineWe’ll soon hear from two companies that stand to benefit from the uptick in crypto trading/prices over recent months.Analysts have become notably bullish for top and bottom line expectations for both companies, raising their estimates in a big way over recent months. Favorable prints surrounding customer counts and assets under custody would reflect nice tailwinds for both stocks concerning their post-earnings movement.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Coinbase Global, Inc. (COIN): Free Stock Analysis Report Robinhood Markets, Inc. (HOOD): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks