Third quarter revenue exceeded expectations, Bullish (BLSH.US) received a rating upgrade to "Buy" from Deutsche Bank.

Cryptocurrency trading platform Bullish (BLSH.US) has been upgraded by Deutsche Bank Aktiengesellschaft from a "hold" rating to a "buy" rating, due to stronger than expected third quarter revenue. However, the target price has been lowered from $52.00 to $51.00. The latest financial report shows that Bullish's Q3 adjusted revenue increased by 71.5% year-on-year to $76.5 million, surpassing market expectations by $5.36 million. Adjusted EBITDA was $28.6 million, significantly higher than the $7.7 million in the same period last year. Adjusted net profit was $13.8 million, compared to a net loss of $3.1 million in the previous year. In addition, earnings per share under GAAP accounting standards were $0.10, an improvement from the loss of $0.59 per share in the same period last year, but lower than the market expectation of $1.59. The company's guidance for fourth quarter subscription, services and other revenue is $47 million to $53 million, exceeding the consensus expectation of $46.6 million. Deutsche Bank Aktiengesellschaft analyst Brian Bedell stated: "The stock has pulled back over 50% from its mid-August high, and is currently trading 5% below the IPO price from August 12. We believe the risk/reward ratio is more attractive, currently trading at 31 times our 2027 earnings forecast." Bedell added: "While part of the decline is due to recent weakness in cryptocurrency prices (Bitcoin dropped to about $89,000, after reaching a peak of $125,000 in early October), we believe the company is still on track for growth as communicated post-IPO."