Morgan Stanley downgrades Coinbase to underweight, cuts price target to $120

Analyst Michael Cyprys more than halved his target on Coinbase, citing weak trading trends and fading hopes for an earnings rebound Morgan Stanley has turned bearish on Coinbase. On November 2, 2026, analyst Michael Cyprys downgraded Coinbase Global (COIN) from Equal Weight to Underweight. He also cut his price target from $258 to $120. The reasoning is simple. Morgan Stanley has lost confidence that Coinbase’s earnings will bounce back anytime soon, pointing to weak trading trends and a soft revenue outlook. The numbers behind the downgrade The new $120 target sits below where the stock closed on October 30, at $143.54. In other words, Morgan Stanley thinks a stock that has already fallen sharply this year has further to go. Morgan Stanley reduced its revenue forecasts for Coinbase by 28% for 2027. The 2028 revenue estimate came down by 18%. Profit estimates took an even bigger hit. Adjusted EBITDA forecasts were slashed by 47% for 2027 and by 25% for 2028. Morgan Stanley now projects normalized 2028 EBITDA of $2.4 billion. That figure would be 14% below 2025 levels, which suggests the bank sees Coinbase earning less in three years than it did last year. Why the valuation multiple...