Circle’s Market Surge Invites Attention as Analysts Predict a $2 Trillion Stablecoin Industry

Shares of the recently public stablecoin issuer Circle (CRCL) have jumped another 20% today, surpassing the price target of $235 assigned by the research firm Seaport Securities. As the stablecoin market cap is expected to reach $2 trillion in the coming years compared to approximately $260 billion today, analysts are optimistic about Circle’s growth prospects. Seaport also forecasts that Circle can achieve an annual revenue growth rate of 25%-30% with gross margins around 40%.

“Circle should outperform most fintechs over the next two years and thus justifies a premium valuation,” the firm noted.

Circle, which recently went public, was given a buy rating along with its price target by Seaport. On Friday, Circle stocks increased by nearly 20%, reflecting strong market interest.