Circle (CRCL) shares surged another 19% on Friday, hitting $237 and pushing well past Seaport Securities’ $235 price target. The stablecoin issuer’s stock has now soared nearly eightfold from its IPO price of $31 just over two weeks ago.
Seaport Securities recently launched coverage on Circle with a buy rating, pointing to enormous potential in the stablecoin space. The firm projects the stablecoin market could expand to $2 trillion in the next few years, a massive jump from about $260 billion today.
Seaport analysts see Circle delivering robust 25% to 30% annual revenue growth, with gross margins around 40%, putting it ahead of most fintech peers.
“Circle should outperform most fintech companies over the next two years and therefore deserves a premium valuation,” Seaport said.
Investor enthusiasm reflects confidence in Circle’s role at the forefront of the booming digital asset and stablecoin markets.
