Coinbase: Get In Now To Ride The Megatrend Of Stablecoin Adoption (Archive)

This 5-Minute Pitch was originally published on Seeking Alpha before the launch of the Hunting Alphas website. It is shared here to showcase my previous work and track record. New 5-Minute Pitches published on this site will not be disseminated anywhere else.

Elevator Pitch

• The GENIUS Stablecoins Act could drive a 8x surge in USDC market cap, positioning Coinbase for outsized growth in its stablecoins revenue stream.
• Coinbase’s Deribit acquisition is attractively valued and expands TAM into the much larger crypto derivatives market, boosting transaction volumes and profitability.
• Declining stock-based compensation and the business model's strong operating leverage set the stage for significant margin expansion as the business scales.
• COIN trades at reasonable valuations versus its comps and its historical valuation band.
• I strongly believe COIN vs SPX500 is on the cusp of a big breakout to the upside.

Read the full article here.