That was ofthevoids call not mine then I looked it up and he was right a lot of support there

Ok so the autist in me is forcing me to look at Coinbase a little more.

Some back of the napkin math.

They expect 1.8 b in revenue for q1 2021. I don't have their full-year guidance but lets put it around 10 billion (I'm assuming subsequent quarters there will be some growth)

At the current price of 330/10b in earnings, their Price to Sales is around 33x

So now let's compare it to some other companies.

Palantir is around 41x
SNOW is 120x

Obviously not the best of companies to compare to but I was just curious how "expensive" from a fundamental view it is. 33 is expensive but honestly depending on revenue growth it's really not that outlandish.

The fact that this company is actually generating positive earnings is also a big plus. Personally out of these 3 companies Coinbase looks most attractive to me.

edit: this is also highly dependent on crypto growth and adoption. If the premise is that crypto markets will continue to grow then this price is actually a bargain.

This post was edited by ofthevoid on Apr 14 2021 01:51pm

Their revenue growth is insane. If we assume crypto grows, their revenue will explode. IMO we're a good year or two at least from serious competition with other platforms which might cut into their revenue, and we're going to see massive growth over that time frame.

I'd love to buy at the current price.... IF MY BROKER WOULD LET ME!

I actually screwed up the math

330 (stock price) * 261 (fully diluted shares outstanding) = approx 86 b market cap

86b/10b in earnings = around an 8.6x price to sales ratio

I feel like this is too low though anyone sees where I'm making a mistak? Even if I lower their sales revenue by half it's still not that expensive from a fundamental perspective idk.

Math is correct afaik. They're ~100 billion cap.

I think they're an insane buy at current price when you look at growth, for at least 2 years.

This post was edited by Thor123422 on Apr 14 2021 02:49pm

yeah its not a buy and get rich tomorrow stock. fundamentals are good but those dont matter anymore

theyre first and theres hype. thats what matters

nvidia is fucking taking offfffffffffffffffffffffffffffffffffff

In coinbase stock for long haul

same got in yesterday 326

In big

I've gone in small. Betting on coinbase is effectively betting on crypto's appreciation in value and as a currency for the future. I've never been sold on crypto but I'm in for some exposure