Reported by The Block: Coinbase’s stock closed down 15.3% on Thursday, marking its worst day since July 2022.
The decline came a day after the company released weaker-than-expected earnings in the third quarter.
Coinbase shares dropped 15.3% on Thursday, posting the stock’s biggest fall in more than two years after the company reported weaker-than-expected earnings in the third quarter.
The U.S.' largest publicly traded crypto exchange saw its stock price slide to $179.25 at Thursday’s close, reducing its year-to-date gain to 3%. This was the stock’s largest daily decline since July 2022, when it fell 21%, according to Market Watch data. The Nasdaq Composite closed down 2.76%, while the S&P 500 lost 1.86% at closing.
Coinbase’s stock fell a day after the company released its third-quarter results, which were below analysts' expectations. Its third-quarter net income was $75 million, missing the expected $112.2 million target surveyed by Bloomberg among analysts.
While the company’s net revenue, net income and adjusted EBITDA were up year-on-year as crypto prices were at lower levels last year, some of its key earnings figures declined compared to the previous quarter. For example, it registered a net revenue of $1.13 billion in the third quarter, down from $1.38 billion in the last quarter.
Coinbase also announced a share buyback program alongside its latest earnings results, as it further shows confidence in the company’s operations. The crypto exchange said its board of directors has authorized a $1 billion share repurchase program, adding that the timing and amount of any repurchases will depend on market conditions.
The exchange firm also said in its letter to shareholders that its leadership is optimistic about the future regardless of the upcoming U.S. presidential election results. “Both presidential candidates, as well as politicians across the political spectrum, have adopted more favorable positions toward crypto, a significant shift from previous years,” the company said.
The company announced on Wednesday that it has pledged an additional $25 million donation to super political action committee Fairshake to support pro-crypto candidates ahead of the 2026 midterm elections.
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