Coinbase to report Q2 earnings tomorrow

Coinbase Global ( NASDAQ: COIN ) is scheduled to announce Q2 earnings results on Thursday, August 3rd, after market close. The consensus EPS estimate is -$0.62 (+29.10% Y/Y) and the consensus revenue estimate is $638.79M (-21.0% Y/Y). Over the last 2 years, COIN has beaten EPS estimates 63% of the time and revenue estimates 50% of the time. Over the last 3 months, EPS estimates have seen 1 upward revision and 2 downward revisions. Revenue estimates have seen 5 upward revisions and 11 downward revisions. Past results : Q1 GAAP EPS of -$0.34 beats by $1.02, and revenue of $772.5M (-33.4% Y/Y) beats by $119.2M. The cryptocurrency exchange surpassed Wall Street earnings and revenue expectations for Q1 as expenses declined notably while revenue shot up during the quarter. Sentiment toward digital tokens soared in Q1 amid jitters surrounding the traditional banking sector, serving as a boon for COIN. News of interest : The U.S. Securities and Exchange Commission filed a lawsuit against the cryptocurrency exchange in June, alleging that it's operating as an unregistered securities broker. SEC had asked the company to halt trading in all cryptocurrencies except bitcoin. Wall Street analysts : "We like the company's solid execution in Q1 with material cost-cutting and more focus on key parts of the business while being nicely profitable. We believe there should be follow-through momentum again in Q2, and we are upping our estimates here ahead of the print," Canaccord Genuity analyst Joseph Vafi said. COIN also remains one of the most shorted names in the group despite recent short covering activity, which could catalyze a move in the event of better- than-expected results, Keybank Capital Markets said. Seeking Alpha analysts : The SEC's enforcement actions have impacted Coinbase's trade volume, which could lead to potential declines in Q2, SA contributor Mandela Amoussou said . Q2 results could show a drop in Bitcoin trading volumes, potentially leading to a sequential revenue decline. Analysts are predicting a sequential rise in quarterly revenues for Q3, but the risk of weak guidance remains, according to SA author Bill Maurer. Coinbase doesn't seem to have a solid path to profitability. All signs point to revenues decreasing over time. Bitcoin ETF filings are likely immaterial too, SA analyst Stony Chambers Asset Research said . Ratings : The sell-side analysts give the stock a Hold rating, with an average price target of $79.91. The stock is currently trading at $90.80. SA authors and the Quant Rating system give the stock a Hold rating. More on Coinbase Global : Coinbase Vs. SEC: New Filings And A Heated Preliminary Hearing Ripple Ruling: Coinbase Might Be The Biggest Winner Coinbase: The Institutional Pick And Shovel Crypto Play