Circle stock price hits $90, analysts optimistic about diversified growth in stablecoin business

Odaily Planet Daily reports that the stablecoin issuer Circle’s stock price once rose above $90, reaching a new high since November last year, then fell back to around $87. Previously, the company’s Q4 earnings exceeded market expectations, driving the stock price up approximately 30% after the earnings release.

Bernstein analyst maintains a “buy” rating on Circle with a target price of $190, believing that the company’s performance indicates a growth trend that has “become distinctly different from the crypto market.” The report notes that Circle’s expansion in infrastructure is generating higher-margin new revenue streams, rather than relying solely on stablecoin reserve earnings.

The analyst states that Circle’s trading-related income continues to grow, including blockchain rewards earned as a super validator on the Canton network. Meanwhile, the proportion of USDC directly held on the Circle platform has increased to 17% of the total supply, up from 14% in the previous quarter. The company expects USDC circulation to maintain an annual growth rate of about 40% in the future, and anticipates that non-reserve business revenue will reach approximately $170 million by 2026, up from about $110 million in 2025.

Bernstein is also optimistic about Circle’s expansion into new product areas, including the Arc platform, Circle Payments Network, and “automated payments” capabilities for AI agents.

Meanwhile, Mizuho analysts point out that as stablecoins are increasingly used in new scenarios such as prediction markets, for example on the Polymarket platform, Circle’s revenue structure is expected to become more diversified. Overall, market attention is gradually shifting to whether Circle can establish a more balanced revenue source structure amid the expansion of the stablecoin ecosystem.