Circle Q3 Revenue Jumps 65.9% to $739.8M as USDC Surges 108%
Circle’s Q3 revenue surged 65.9% y/y to $739.8M with EPS of $0.64 topping estimates by $0.44, as USDC circulation climbed 108% y/y to $73.7B. Twenty-four analysts assign a consensus Hold rating with an average one-year price target of $139.29.
1. Consensus Rating Breakdown
Circle Internet Group is covered by 24 research firms that collectively assign a consensus recommendation of “Hold.” Of these, four analysts rate the stock as a sell, ten as a hold, eight as a buy and two as a strong buy. The average one-year price target across brokerages stands at $139.29, reflecting a broad range of expectations for the company’s performance over the next 12 months.
2. Recent Analyst Revisions
Several major firms have updated their views in recent months. Goldman Sachs raised its target from $79.00 to $88.00 and maintained a neutral rating on January 5th. JPMorgan Chase upgraded Circle from underweight to overweight on November 13th, boosting its target to $100.00 from $94.00. On November 14th, Mizuho trimmed its target from $84.00 to $70.00 and reiterated an underperform rating. Citigroup initiated coverage on September 30th with a market perform assessment. Also on November 13th, Needham & Company cut its objective from $250.00 to $190.00 but retained a buy rating.
3. Q3 Financial Performance
In the quarter ended November 12th, Circle reported earnings per share of $0.64, surpassing the consensus estimate of $0.20 by $0.44. The company generated revenue of $739.8 million, marking a 65.9% increase year-over-year. Circle’s market capitalization sits at approximately $18.04 billion and it carries a trailing P/E ratio of -33.46, reflecting continued investment in growth initiatives within its digital currency and payments infrastructure.
4. Insider and Institutional Activity
Insiders sold a combined 722,089 shares during the last quarter, representing proceeds of $58.54 million. Notable transactions include Nikhil Chandhok’s sale of 100,000 shares for $7.71 million on December 1st and Director Rajeev V. Date’s sale of 190,867 shares for $15.95 million on November 14th. On the institutional side, PNC Financial increased its stake by 14.9% in the third quarter to 1,164 shares valued at $154,000. New positions were established by EverSource Wealth Advisors with $27,000, North Star Investment with $34,000 and Hennessy Advisors with $36,000, while Larson Financial boosted its holdings by 3,800% to 195 shares worth $26,000.