Goldman Sachs raises price targets for Coinbase and Robinhood

Goldman Sachs (NYSE: GS) analysts raised their price targets for Coinbase Global (Nasdaq: COIN) and Robinhood Markets (Nasdaq: HOOD) on Aug. 25, citing structural growth and regulatory progress. The investment bank, which has operated for 157 years, adjusted its outlooks for both companies, which were added to the S&P 500 index last year. The S&P 500 tracks the performance of the 500 largest publicly listed companies in the U.S.

Coinbase, the largest crypto trading exchange in the U.S., saw its price target increase by 13%, moving from $173 to $196, according to TipRanks. Analyst James Yaro maintained a Buy rating on the stock. In a research note to investors, Yaro described the bank's outlook as "cautiously optimistic," pointing to structural growth in brokerage and prediction markets, potential crypto trading upside, and regulatory progress related to the CLARITY Act. The analyst also noted continued cost discipline as a factor in the assessment.

At the time of writing, COIN shares were trading at $91.35. This price reflects a 27% increase since Aug. 19, a date marked by a U.S. Treasury announcement to at least double the amount of longer-term bond buybacks. That announcement sparked liquidity hopes and contributed to a rally in the crypto market. Based on the current trading price, Goldman Sachs' new target of $196 represents 115% upside.

Goldman Sachs also revised its view on Robinhood Markets, a brokerage platform known among young retail traders for its equity, crypto, and tokenized stock offerings. According to Market Screener, Yaro raised the price target for HOOD from $123 to $124. While the numerical change is minimal, the bank remains optimistic about the company's prospects. HOOD shares were trading at $111.06 at the time of writing, up 21% since Aug. 19. At that level, the new price target implies 11% upside.