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Coinbase Global Financial Strength

: 6 (As of Jun. 2022)
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Coinbase Global has the Financial Strength Rank of 6.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

Coinbase Global did not have earnings to cover the interest expense. Coinbase Global's debt to revenue ratio for the quarter that ended in Jun. 2022 was 1.08. As of today, Coinbase Global's Altman Z-Score is 0.25.


Competitive Comparison

For the Software - Application subindustry, Coinbase Global's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Coinbase Global Financial Strength Distribution

For the Software industry and Technology sector, Coinbase Global's Financial Strength distribution charts can be found below:

* The bar in red indicates where Coinbase Global's Financial Strength falls into.



Coinbase Global Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Coinbase Global's Interest Expense for the months ended in Jun. 2022 was $-24 Mil. Its Operating Income for the months ended in Jun. 2022 was $-1,002 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $3,448 Mil.

Coinbase Global's Interest Coverage for the quarter that ended in Jun. 2022 is

Coinbase Global did not have earnings to cover the interest expense.

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Coinbase Global's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(34.678 + 3448.35) / 3233.3
=1.08

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Coinbase Global has a Z-score of 0.25, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.25 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Coinbase Global  (NAS:COIN) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Coinbase Global has the Financial Strength Rank of 6.


Coinbase Global Financial Strength Related Terms

Thank you for viewing the detailed overview of Coinbase Global's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Coinbase Global Business Description

Coinbase Global logo
Traded in Other Exchanges
Address
c/o The Corporation Trust Company, 1209 Orange Street, Wilmington, DE, USA, 19801
Founded in 2012, Coinbase is the leading cryptocurrency exchange platform in the United States. The company intends to be the safe and regulation-compliant point of entry for retail investors and institutions into the cryptocurrency economy. Users can establish an account directly with the firm, instead of using an intermediary, and many choose to allow Coinbase to act as a custodian for their cryptocurrency, giving the company breadth beyond that of a traditional financial exchange. While the company still generates the majority of its revenue from transaction fees charged to its retail customers, Coinbase uses internal investment and acquisitions to expand into adjacent businesses, such as prime brokerage, data analytics, and collateralized lending.
Executives
Lutke Tobias director C/O SHOPIFY INC. 150 ELGIN ST., 8TH FLOOR OTTAWA A6 K2P 1L4
Ah Capital Management, L.l.c. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Cnk Fund I, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Choi Emilie officer: President C/O COINBASE GLOBAL, INC. 100 PINE STREET, SUITE 1250 SAN FRANCISCO CA 94111
Andreessen Horowitz Lsv Fund I, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Ah Equity Partners Lsv I, L.l.c. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Andreessen Horowitz Lsv Fund I-q, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Andreessen Horowitz Lsv Fund I-b, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Union Square 2012 Gp, L.l.c. 10 percent owner 915 BROADWAY 19TH FLOOR NEW YORK NY 10010
Usv Opportunity 2014, Lp 10 percent owner 915 BROADWAY, 19TH FLOOR NEW YORK NY 10010
Usv Opportunity Investors 2014, Lp 10 percent owner 915 BROADWAY, 19TH FLOOR NEW YORK NY 10010
Usv Opportunity 2014 Gp, Llc 10 percent owner 915 BROADWAY, 19TH FLOOR NEW YORK NY 10010
Brian Armstrong Living Trust 10 percent owner C/O COINBASE GLOBAL, INC. 100 PINE STREET, SUITE 1250 SAN FRANCISCO CA 94111
Cnk Equity Partners I, L.l.c. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025
Cnk Fund I-b, L.p. 10 percent owner 2865 SAND HILL ROAD, SUITE 101 MENLO PARK CA 94025

Coinbase Global Headlines

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