A crypto company among the top-rated stocks for price performance? Given the erratic market for Bitcoin, and the recent failures of FTX and BlockFi, it might seem unlikely. But Coinbase Global, a cryptocurrency investment platform, just got a huge bump up for its Relative Strength (RS) Rating, which was upgraded from 68 to 89 Wednesday. Coinbase stock rose.
Coinbase Stock Among Best For Price Performance
The 89 RS Rating means that Coinbase stock is in the top 11% of all stocks for price appreciation this past year. Market research shows that the best stocks watch and buy tend to have an RS Rating north of 80 as they launch their biggest runs.
Despite its strong RS Rating, Coinbase stock has some work to do to get into the top tier of stocks. First the good news. Coinbase boasts a B Accumulation/Distribution Rating, on an A+ to E scale. That points to strong buying of its stock by funds. And it's in the Computer Software-Financial group, which has an A- RS Rating.
However, it also has a weak 4 Earnings Per Share Rating, out of 99, as it struggles to become profitable. Lack of earnings isn't unusual for a relatively young company like Coinbase, which launched its IPO in April 2021. The 40 Composite Rating, out of 99, for Coinbase stock is stronger, but still not what you look for in market leaders.
Coinbase Global reported a $2.46 per share loss last quarter on a 75% drop in revenue to $629.1 million.
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Coinbase Rises Despite Market Slump Wednesday
Coinbase stock rose 2.9% Wednesday to close at 64.47. That's more than double its Jan. 6 low of 31.55. Bitcoin has risen swiftly lately as well, which could lift crypto brokers like Coinbase. Coinbase Global is not currently near a potential buy zone. See if the stock goes on to form a promising consolidation that could launch a new move.
Coinbase stock holds the No. 25 rank among its peers in the Computer Software-Financial industry group. Vertex and Fair Isaac are among the group's highest-rated stocks.
IBD's proprietary RS Rating tracks technical performance by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the trailing 52 weeks matches up against that of all other stocks.
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