Coinbase stock rises as SEC dismisses lawsuit, CEO calls it a "huge day"

From Nasdaq

February 24, 2025 03:27 AM:

Coinbase Stock (COIN) rises as SEC dismisses lawsuit. After being sued by the SEC in 2023, Coinbase’s ongoing legal battle has ended with the SEC agreeing to dismiss the lawsuit. CEO Brian Armstrong stated that the company will not pay any fine, calling it a “huge day” for Coinbase and the crypto industry.

The charges against Coinbase involved the classification of certain crypto assets as securities, which required additional disclosure and registration. Despite a recent decline in share prices, Coinbase reported strong Q4 earnings, beating estimates and delivering a trailing four-quarter average earnings surprise of 46.15%. Analysts have raised EPS estimates for the current quarter by 258.33%.

Coinbase garners a top ‘A’ rating in Zacks Momentum Style Score category, indicating a potential for higher share prices based on strong price and earnings momentum. However, the stock remains volatile and is influenced by movements in Bitcoin and other cryptocurrencies. Investors should monitor the industry for ongoing favorable developments.

Read more at Nasdaq: Zacks Investment Ideas feature highlights: Coinbase