Mizuho Securities maintained its "underperform" rating on Circle stock and lowered its target price to $70.
TL;DR
Mizuho Securities kept its 'underperform' rating on Circle stock and cut the target price to $70, citing risks like interest rate cuts and competition. The stock has fallen nearly 40% in the past month.
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Odaily Odaily that Mizuho Securities maintained its "underperform" rating on Circle stock, with analysts lowering their base price target from $84 to $70. Circle stock (ticker symbol CRCL) traded at around $82 on Friday, down nearly 40% over the past month.
"We believe the company's valuation fails to adequately reflect the key risks to its medium-term earnings," Mizuho Securities analysts stated in a research report. The analysts also noted potential risks including "an upcoming interest rate cuts, relatively stagnant economic growth, high (and rising) circulation costs, and increasingly fierce competition among stablecoins."