Mizuho Securities Cuts Price Targets for Major Crypto Stocks Amid Market Volatility

Mizuho Securities has cut its price targets for three major cryptocurrency-related stocks, sparking concerns about their growth prospects.

The securities firm reduced its target prices for MicroStrategy, Coinbase Global, and Robinhood Markets due to poor earnings and volatility in the digital asset market. This move reflects growing caution among analysts as they assess the potential of these stocks, which are heavily exposed to cryptocurrency fluctuations.

MicroStrategy has been particularly hard hit, with Mizuho Securities lowering its 12-month price target from $403 to $320. The company's net loss was $12.4 billion in the latest financial report, and it holds a substantial amount of Bitcoin. Despite this, CEO Michael Saylor remains committed to adding more BTC to the company's portfolio.

Coinbase Global also saw its price target reduced by Mizuho Securities, from $280 to $170. The crypto exchange recorded a net loss of $666.7 million in the fourth quarter and missed analysts' revenue expectations. CEO Brian Armstrong has sold part of his stake, and the company faces further uncertainty due to regulatory pressures.

Robinhood Markets had its price target cut by Mizuho Securities as well, from $172 to $135. While it remains an outperform stock, the company still faces significant challenges in maintaining growth amidst intense competition and market pressure.