‘I wouldn’t touch this thing at all’

Famed investor Jim Cramer shares his view on Coinbase stock.
BofA analyst reiterates his underperform rating on COIN.
Coinbase stock is down nearly 30% versus its year-to-date high.

Coinbase Global Inc (NASDAQ: COIN) has lost nearly 30% in recent weeks but famed investor Jim Cramer still doesn’t dub it an opportunity to invest in it.

Cramer shares his view on the Coinbase stock

The Mad Money host is disappointed that the crypto exchange did not benefit in terms of inflows amidst the recent bank failures. On CNBC’s “Squawk Box”, he said:

I figured that, not to me, but to some people they were the JPMorgan of the business. So, the money goes to JPMorgan. Doesn’t look like it. I wouldn’t touch this thing at all.

Last month, the crypto company received a Wells notice from the Securities and Exchange Commission for violating U.S. securities laws.

Remember that year-to-date, Coinbase stock is still up 90% at writing.

Bank of America is bearish on Coinbase stock

Also on Thursday, a Bank of America analyst cited data from CoinGecko and said transaction volumes remained roughly flat for Coinbase in the first quarter (sequentially), missing consensus by a whopping $24 billion.

That’s when crypto prices have been trending up since the start of the year. That’s noteworthy as transaction volume makes up a huge chunk of its total revenue.

Jason Kupferberg also cited a 6.0% decline in app downloads (data from Sensor Tower) as he reiterated his “underperform” rating on Coinbase stock.  At 2.7 million, app downloads in Q1 were the lowest since the third quarter of 2020. The analyst added:

While we don’t see much risk to Coin’s 1Q interest income, USDC’s market cap has fallen 24% since the bank crisis started, which could add risk to interest income estimates over the next few quarters.