Analysis: Coinbase Q3 revenue may decline by about 13% due to decreased trading volume and regulatory uncertainty

ChainCatcher news, according to CoinDesk, Wall Street analysts expect that Coinbase's (COIN) spot trading volume will further slow in the third quarter, partly due to a lack of catalysts in the crypto market and the uncertain regulatory environment ahead of the presidential election.

According to FactSet estimates, when Coinbase reports earnings after the market closes on Wednesday, third-quarter revenue is expected to decline by about 13%, from $1.45 billion in the previous quarter to $1.26 billion. Meanwhile, earnings per share (EPS) are expected to be $0.46, up from $0.14 in the second quarter.

Barclays analyst Benjamin Buddish wrote in a report, "Coinbase's trading volume remains weak this quarter, primarily due to weak retail trading revenue." He maintained an equal weight rating on the stock and raised his price target from $169 to $175, while lowering his third-quarter EPS estimate from $1.62 to $1.05.