JPMorgan Chase analysts are turning bearish on major tech and restaurant stocks, citing overvaluation risks as the S&P 500 hits record highs. Tesla (TSLA) faces criticism for its ‘sky-high valuation’ and potential earnings decline due to reduced EV subsidies. Rivian (RIVN) is also flagged for balance sheet challenges amid subsidy cuts and tariffs. Circle (CRCL), Snapchat (SNAP), and Bumble (BMBL) are highlighted as overvalued, with Snapchat struggling with ad spending volatility and Bumble facing a tough dating app market. Other stocks like Cheesecake Factory (CAKE), Intel (INTC), and Shake Shack (SHAK) are also seen as correction candidates. The S&P 500 closed at a record 6,286 points, raising concerns about market sustainability.
about JPMorgan Turns Bearish on Tech, Restaurant Stocks Amid Record HighsKenneth Worthington
0 posts last weekJPMorgan Predicts Double-Digit Drop for Circle Stock
JPMorgan analyst Kenneth Worthington predicts a double-digit percentage drop for Circle’s (CRCL) stock, setting a price target of $80—56% below its current price. Worthington warns of intensifying competition as firms like Amazon and Walmart explore stablecoin issuance, threatening Circle’s market share. Despite a 487% surge since its IPO, CRCL has fallen 39% from its all-time high. Barclays, however, remains optimistic, projecting a $215 price target due to growing TradFi adoption of stablecoins. Circle’s market cap exceeds $40 billion, but its high P/E ratio of 234 raises concerns.
about JPMorgan Predicts Double-Digit Drop for Circle StockJPMorgan Underweights Circle Amid Stablecoin Competition
JPMorgan analysts have issued an underweight rating for Circle (CRCL), the issuer of the USDC stablecoin, warning of competitive pressures in the stablecoin market. The bank’s $80 price target for December 2026 represents a 55% downside from the current $180 share price. The target is based on a 45x multiple of projected 2027 earnings per share (EPS), with an additional $10 premium for upside potential. The analysis, led by Kenneth Worthington, marks JPMorgan’s first formal coverage of Circle in its North America Equity Research report. Despite Circle’s strong position in the stablecoin sector, the bank sees significant risks from growing competition.
about JPMorgan Underweights Circle Amid Stablecoin Competition