We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Tap Into Bitcoin's Bull Market with These 3 Crypto Stocks
Bitcoin is the best performing asset over the past decade, and its performance has shown little signs of letting up -- and some top crypto stocks are on a tear, too.
Year-to-date, the world’s first and largest cryptocurrency is up nearly 60%, gaining almost 150% over the past twelve months. Despite regulatory hurdles, crypto exchange closures, and a brutal bear market, Bitcoin has climbed the proverbial “Wall of Worry” and is only a few thousand off its all-time high of $73,798.
Looking ahead to the second-half of 2024, Bitcoin and Bitcoin proxies should benefit from two major bullish catalysts, including:
The Bitcoin Halving Fuels Record Gains
The Bitcoin “Halving” event occurs every four years and cuts the number of newly “minted” Bitcoin in half. Bitcoin’s unique monetary policy separates it from central bank-issued currencies and makes it an attractive investment for so many. While central banks have no limit on how much they can inflate their currency, Bitcoin’s supply is limited. Historical price moves illustrate the benefits of the halving. The first three halvings produced gains of 9,133%, 281%, and 562% one year later!
Institutional Adoption Grows with Bitcoin ETFs
A 13F is a disclosure required by the U.S. Securities and Exchange Commission (SEC) that companies with assets under management north of $100 million must present. This quarter, more than 600 institutions disclosed positions in spot Bitcoin ETFs, including a who’s who of top-tier firms.
3 Crypto-Related Stocks to Buy Now
Coinbase
Coinbase is the most prominent crypto exchange in the U.S., earning a best-possible Zacks Rank #1 (Strong Buy) score.
Cash Cow
Seth Klarman is a legendary value investor, billionaire, and one of the highest-earning money managers in the world. In an interview last year, Klarman stated that he avoids crypto but sees value in Coinbase, saying, “Coinbase is sitting on $5 billion in cash, has less than that in debt, and is doing some smart things.” Well, now that number has grown to more than 7 billion. I bring this to your attention because not many people trading a stock like COIN probably understand how sound the company is fundamentally.
Coinbase Smashing the Street’s Expectations
On May 3rd, the leading crypto exchange announced EPS of $4.4, smashing the Street’s estimate of $1.07.Here is a snippet of the EPS transcript that stuck out to me:“Our financial performance in Q1 reflects our focused execution on product expansion, ongoing operational discipline, and strong crypto market conditions. We generated $1.6 billion of total revenue and $1.2 billion of net income*. Adjusted EBITDA was $1.0 billion – more than we generated in all of 2023.” Lastly, we continue to drive regulatory clarity for crypto through grassroots advocacy, pushing for legislation, and ongoing efforts to seek clarity through the courts.”
COIN has beaten expectations for five straight quarters, and not only are they beating them, they are smashing them. Over the past five quarters the average EPS surprise is 364.63%!
Robinhood Markets
Zacks Rank #2 (Buy) stockRobinhood is one of the most popular brokerages in the United States. Robinhood was the first major broker to “democratize” trading by offering a commission-free investing app. The app rose to prominence during the meme stock craze that was spurred on by retail investing groups on the social media platform Reddit and included meteoric moves in stocks like GameStop.
Bull Catalyst: Crypto
HOOD recently added crypto-enabled trading. Though HOOD is late to the crypto game, the company has the perfect client base to take advantage of a Bitcoin bull market.
Consistent Positive EPS Surprises
HOOD reported first-quarter earnings that trounced Zacks Consensus Estimates by 260%. Over the past four quarters, positive earnings beats have become the norm, with an average EPS beat of 230%!
Record Net Deposits
Net deposits are one of the most important metrics to monitor for brokers. HOOD net deposits reached a record $11.2 billion in Q1, translating to a 44% annualized growth rate and contributing to a 30% growth rate over the last twelve months. Meanwhile, CEO Vlad Tenev announced on May 14th that Robinhood hit $5B in equities trading volume.
Robinhood Gold Is Growing
Robinhood recently announced a new “Gold” credit card. HOOD has already gained a healthy 260,000 new subscribers.
MicroStrategy
MicroStrategy has been around for years and is a leading provider of business intelligence software.
Adopting the Bitcoin Standard
Former CEO and billionaire Michael Saylor made waves on Wall Street a few years ago when he got MSTR on the “Bitcoin Standard.” Instead of sitting in inflationary assets like U.S. dollars, Saylor realized MSTR would be better off on a “Bitcoin sail.” Essentially, MSTR is a leveraged Bitcoin bet. The results speak for themselves – over the past five years, MicroStrategy is up more than 1,000%!
Conversely, a good option for investors who do not want a leveraged bet but want to tap into Bitcoin’s potential upside is the IBIT ETF. IBIT has some of the lowest fees and the most liquidity out of all the Bitcoin ETFs.
Why Haven’t You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.
Today you can access their live picks without cost or obligation.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Zacks Investment Ideas feature highlights: Coinbase, Robinhood, Reddit, GameStop and MicroStrategy
For Immediate Release
Chicago, IL – May 22, 2024 – Today, Zacks Investment Ideas feature highlights Coinbase (COIN - Free Report) , Robinhood Markets (HOOD - Free Report) , Reddit (RDDT - Free Report) , GameStop (GME - Free Report) MicroStrategy (MSTR - Free Report) .
Tap Into Bitcoin's Bull Market with These 3 Crypto Stocks
Bitcoin is the best performing asset over the past decade, and its performance has shown little signs of letting up -- and some top crypto stocks are on a tear, too.
Year-to-date, the world’s first and largest cryptocurrency is up nearly 60%, gaining almost 150% over the past twelve months. Despite regulatory hurdles, crypto exchange closures, and a brutal bear market, Bitcoin has climbed the proverbial “Wall of Worry” and is only a few thousand off its all-time high of $73,798.
Looking ahead to the second-half of 2024, Bitcoin and Bitcoin proxies should benefit from two major bullish catalysts, including:
The Bitcoin Halving Fuels Record Gains
The Bitcoin “Halving” event occurs every four years and cuts the number of newly “minted” Bitcoin in half. Bitcoin’s unique monetary policy separates it from central bank-issued currencies and makes it an attractive investment for so many. While central banks have no limit on how much they can inflate their currency, Bitcoin’s supply is limited. Historical price moves illustrate the benefits of the halving. The first three halvings produced gains of 9,133%, 281%, and 562% one year later!
Institutional Adoption Grows with Bitcoin ETFs
A 13F is a disclosure required by the U.S. Securities and Exchange Commission (SEC) that companies with assets under management north of $100 million must present. This quarter, more than 600 institutions disclosed positions in spot Bitcoin ETFs, including a who’s who of top-tier firms.
3 Crypto-Related Stocks to Buy Now
Coinbase
Coinbase is the most prominent crypto exchange in the U.S., earning a best-possible Zacks Rank #1 (Strong Buy) score.
Cash Cow
Seth Klarman is a legendary value investor, billionaire, and one of the highest-earning money managers in the world. In an interview last year, Klarman stated that he avoids crypto but sees value in Coinbase, saying, “Coinbase is sitting on $5 billion in cash, has less than that in debt, and is doing some smart things.” Well, now that number has grown to more than 7 billion. I bring this to your attention because not many people trading a stock like COIN probably understand how sound the company is fundamentally.
Coinbase Smashing the Street’s Expectations
On May 3rd, the leading crypto exchange announced EPS of $4.4, smashing the Street’s estimate of $1.07.Here is a snippet of the EPS transcript that stuck out to me:“Our financial performance in Q1 reflects our focused execution on product expansion, ongoing operational discipline, and strong crypto market conditions. We generated $1.6 billion of total revenue and $1.2 billion of net income*. Adjusted EBITDA was $1.0 billion – more than we generated in all of 2023.” Lastly, we continue to drive regulatory clarity for crypto through grassroots advocacy, pushing for legislation, and ongoing efforts to seek clarity through the courts.”
COIN has beaten expectations for five straight quarters, and not only are they beating them, they are smashing them. Over the past five quarters the average EPS surprise is 364.63%!
Robinhood Markets
Zacks Rank #2 (Buy) stockRobinhood is one of the most popular brokerages in the United States. Robinhood was the first major broker to “democratize” trading by offering a commission-free investing app. The app rose to prominence during the meme stock craze that was spurred on by retail investing groups on the social media platform Reddit and included meteoric moves in stocks like GameStop.
Bull Catalyst: Crypto
HOOD recently added crypto-enabled trading. Though HOOD is late to the crypto game, the company has the perfect client base to take advantage of a Bitcoin bull market.
Consistent Positive EPS Surprises
HOOD reported first-quarter earnings that trounced Zacks Consensus Estimates by 260%. Over the past four quarters, positive earnings beats have become the norm, with an average EPS beat of 230%!
Record Net Deposits
Net deposits are one of the most important metrics to monitor for brokers. HOOD net deposits reached a record $11.2 billion in Q1, translating to a 44% annualized growth rate and contributing to a 30% growth rate over the last twelve months. Meanwhile, CEO Vlad Tenev announced on May 14th that Robinhood hit $5B in equities trading volume.
Robinhood Gold Is Growing
Robinhood recently announced a new “Gold” credit card. HOOD has already gained a healthy 260,000 new subscribers.
MicroStrategy
MicroStrategy has been around for years and is a leading provider of business intelligence software.
Adopting the Bitcoin Standard
Former CEO and billionaire Michael Saylor made waves on Wall Street a few years ago when he got MSTR on the “Bitcoin Standard.” Instead of sitting in inflationary assets like U.S. dollars, Saylor realized MSTR would be better off on a “Bitcoin sail.” Essentially, MSTR is a leveraged Bitcoin bet. The results speak for themselves – over the past five years, MicroStrategy is up more than 1,000%!
Conversely, a good option for investors who do not want a leveraged bet but want to tap into Bitcoin’s potential upside is the IBIT ETF. IBIT has some of the lowest fees and the most liquidity out of all the Bitcoin ETFs.
Why Haven’t You Looked at Zacks' Top Stocks?
Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.
Today you can access their live picks without cost or obligation.
See Stocks Free >>
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.