Citi upgraded Galaxy Digital to ‘Buy’ with a $28 target, about 41% above Monday’s close.
- The firm also raised its Coinbase target to $230 from $210, implying about 27.5% upside.
- For Gemini, Citi changed its rating to ‘Neutral’ from ‘Sell’ with a $4.75 target, about 15.6% above Monday’s close, citing the stock’s recent pullback.
- Citi also downgraded Securitize to ‘Neutral’ from ‘Buy’, despite saying it favors tokenization.
Citi upgraded Galaxy Digital (GLXY) and Gemini (GEMI) and raised its price target for Coinbase (COIN) on Tuesday, saying crypto stocks were heading into earnings with a “considerably stronger backdrop.” However, the bank downgraded Securitize (SECZ), even though it favors tokenization.
According to TheFly, the crypto equity reshuffle came as Citi reviewed third-quarter (Q3) earnings forecasts. The firm said it favored companies positioned around tokenization and market infrastructure, with a preference for “AI-enabled infrastructure stories.”
Galaxy Leads The Upgrades
Citi raised Galaxy Digital to ‘Buy’ from ‘Neutral’ and lifted its price target to $28 from $26. The new target implied about 41% upside from Monday’s close of $19.87. The upgrade came as Citi told investors in a research note that the sector’s setup going into earnings had improved sharply from a few months ago.
GLXY stock was down over 2% in morning trade. On Stocktwits, the retail sentiment around GLXY remained in the ‘neutral’ zone, while chatter around it shifted to ‘normal’ from ‘low’ levels over the past day.
Citi Raises Coinbase Price Target
Coinbase also got a vote of confidence. The bank lifted its Coinbase price target to $230 from $210 and kept a ‘Buy’ rating. The Coinbase memo had the same sector stance, citing tokenization, market infrastructure and AI-powered infrastructure stories as the themes the business favored. The new target implied about 27.5% upside from Monday’s close of $180.39.
COIN stock was down 0.16% during morning trade. On Stocktwits, retail sentiment around COIN remained in the ‘bearish’ zone, while chatter around it stayed at ‘low’ levels over the past day.
Gemini Upgrade Follows A Pullback
Citi analyst Peter Christiansen also upgraded Gemini to ‘Neutral’ from ‘Sell’ and raised the price target to $4.75 from $3.20. He tied the Gemini move to the stock’s recent pullback. The new target implied about 15.6% upside from Monday’s close of $4.11.
GEMI stock fell around 0.3% in morning trade. On Stocktwits, retail sentiment around GEMI remained in the ‘bearish’ zone, while chatter around it shifted to ‘extremely low’ levels over the past day.
A Cut For Securitize
Securitize, however, was the exception. Citi downgraded the stock to ‘Neutral’ from ‘Buy,’ even though its business centered on tokenizing real-world assets, the theme Citi said it preferred. The downgrade came a day after a steep drop.
SECZ stock fell over 6% on Tuesday morning trade. On Stocktwits, retail sentiment around SECZ remained in the ‘neutral’ zone, while chatter around it shifted to ‘high’ from ‘normal’ levels over the past day.
The reshuffle sets up a busy few weeks for crypto stocks, with the companies expected to report third-quarter results starting in late October.
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