Is Coinbase Global Inc (COIN) overvalued?
On Equity Rank's model estimate, COIN trades 114% above its fair value. Coinbase Global Inc (COIN) last closed at $134.76; the multi-method model fair value is $62.94.
| Price | Model fair value | Price vs model |
|---|---|---|
| $134.76 | $62.94 | 114% above |
What the answer rests on
- 1 of 4 valuation methods put COIN's value above its price and 3 put it below, so the methods mostly agree.
- To justify today's price, COIN's free cash flow would need to grow about 7.5% a year for ten years (a reverse discounted cash flow).
- Over the past year the price sat below the model fair value on 0% of trading days. The gap ranged from 12% above to 117% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind COIN's fair value · What prices assume · Other companies