Benchmark Raises CompoSecure Price Target to $24 on Arculus Crypto Upgrade
Benchmark has increased its price target for CompoSecure (NYSE: CMPO) to $24 from $17, citing operational momentum, M&A potential, and a product upgrade from its Arculus crypto wallet unit. CMPO shares rose 2.7% in early trading to around $21.
The stock has climbed about 61% year-to-date, outpacing the S&P 500, driven by stronger execution since Resolute Holdings acquired a majority stake in September 2024, according to analyst Mark Palmer.
Palmer highlighted Arculus’s partnership with N. Exchange, a non-custodial crypto trading platform, as a strategic move into digital assets. By integrating multiple liquidity venues and launching a smart order router, Arculus has upgraded its cold storage wallets to support secure, efficient trading.
Benchmark views the enhanced platform as differentiating Arculus in a competitive market, appealing to enterprise clients seeking custody, liquidity, and execution in a single solution. The broker maintained its buy rating and projects FY26 adjusted EBITDA of $174.8 million on revenue of $502.9 million, noting the stock’s attractive valuation if crypto adoption continues to accelerate.
