"Mentions of COIN on Reddit's r/stocks and r/investing have surged over the past week, but the tone has shifted decidedly negative. Users are no longer celebrating the Q3 beat. Instead, they're questioning valuation, competitive threats, and the durability of transaction revenue in a cooling crypto market. Coinbase (COIN) - Thoughts?by u/Embarrassed-Egg-545 in stocks In this Reddit discussion, users expressed growing concerns about the company's valuation and sustainability. One user commented: "I think it's a good company but I don't think it's worth the current valuation. It's very dependent on crypto prices and trading volume.""
"And there are real reasons to be concerned: Bitcoin has fallen 8% from its December peak, threatening the transaction volume that drove Q3's 37% sequential revenue jump The company trades at 23.7x earnings despite a beta of 3.69, meaning it amplifies crypto volatility in both directions Competitors like Robinhood (NASDAQ:HOOD) and Kraken continue to undercut on fees, pressuring Coinbase's retail margins"
Coinbase shares declined about 11% over the past month as Bitcoin slipped below $93,872 from a roughly $103,000 peak, reducing trading activity that boosted Q3 results. Retail investor sentiment on Reddit and X turned negative, with users questioning valuation, competitive threats, and the durability of transaction revenue in a cooling crypto market. The company trades near 23.7x earnings with a beta of 3.69, amplifying crypto-driven swings. Competitors like Robinhood and Kraken are undercutting fees and pressuring retail margins, while Robinhood’s diversified revenue mix has helped it hold steadier amid the pullback.
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