Coinbase's third-quarter transaction revenue fell 44% year over year, a sharper drop than overall net revenue.
The bank changed its rating from Equal-weight to Underweight. Its revised $120 benchmark is $138 below the previous $258 target. Both the rating and target moved lower in the analyst action.
Cyprys said Morgan Stanley now sees a less certain path to an earnings recovery at Coinbase.
Coinbase recorded $1.2 billion in net revenue for the quarter ended Sept. 30, compared with $1.8 billion in the same quarter a year earlier.
