Skip to main content
You have permission to edit this article.
Edit

Coinbase Global Is Set To Restructure Its Staff, Which Will Result In The Layoffs Of Around 18% Of Its Employees.

Following a downgrade from Overweight to Neutral by J.P. Morgan analysts, who cited the “extreme” decrease in crypto prices and the company’s intentions for continuing expenditures, the decision was made.

During premarket trading on Tuesday, Coinbase (NASDAQ: COIN) shares lost 6% of their value. On Monday, the stock fell 11% after a sell-off in the stock market and a crypto-rout, and shares in the firm had fallen by almost 80% this year.

On Friday, Coinbase revealed it was reducing roughly 1,100 workers in reaction to market circumstances, which would result in restructuring costs of $40 million to $45.

It’s conceivable that the most recent signs of trouble at the firm aren’t all bad.

Before the reorganization announcement, J.P. Morgan analysts said that they “saw the potential for greater downside to the shares should cryptocurrency markets not stabilize and should management not take more definitive efforts to reduce the cost base.”

A bottom may be in sight even if the crypto markets have not yet stabilized, with Bitcoin BTCUSD –4.90% and other tokens falling even more on Tuesday. At the very least, the reorganization plans show that the company is taking concrete measures to decrease costs.

The post Coinbase Global Is Set To Restructure Its Staff, Which Will Result In The Layoffs Of Around 18% Of Its Employees. appeared first on Best Stocks.

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.