10 Stocks with Potential to Explode in 2025

4. Coinbase Global, Inc. (NASDAQ:COIN)

Average Upside Potential: ~89%

Number of Hedge Fund Holders: 69

Coinbase Global, Inc. (NASDAQ:COIN) operates the platform for crypto assets in the US and internationally. Bernstein initiated coverage of the company’s stock with an “Outperform” rating and a price objective of $310. The firm anticipates that strong regulatory tailwinds are expected to fuel the crypto industry to the American financial mainstream. The firm’s analysts opine that Coinbase Global, Inc. (NASDAQ:COIN) remains well-placed to benefit from the shifting regulatory landscape under the new administration.

While Bernstein acknowledged the challenges related to the growing competition from fintech firms, brokers, and banks, the analysts led by Gautam Chhugani believe that a robust bull market as well as higher US onshore dominance are expected to more than offset the pressures. Furthermore, regulatory uncertainty was a thorn in the crypto industry’s side, but this can change quickly. The firm hinted at Donald Trump’s commitment, which can act as a tailwind for Coinbase Global, Inc. (NASDAQ:COIN). Notably, the analysts expect growth in the non-trading revenues, which can help balance the volatility of trading revenue.

Patient Capital Management, a value investing firm, released the Q4 2024 investor letter. Here is what the fund said:

“The top performers in the fourth quarter were once again Financials and Travel names. We’ve been over-indexed to them since the pandemic, which has served us well. We strategically added to certain financial names like Sofi Technologies (SOFI) and Coinbase Global, Inc. (NASDAQ:COIN) during the year. Both companies rebounded strongly in the fourth quarter. We believe Coinbase is building the platform for the crypto ecosystem. Certain recent advances (wallet, base improvements, USD Coin) could cause an adoption tipping point. We like that Coinbase continues to widen its moat by persistently investing in innovation.”