Mizuho cuts its price target for Gemini by more than 50% as weak trading drags down core business growth

According to TheBlock, Mizuho Financial Group lowered its price target for crypto exchange Gemini to $12 from $26, a drop of more than 50%, citing weak trading activity that is expected to drag on its core business despite continued growth in its credit card business. Analysts pointed out in the report that weak crypto asset price prospects and declining platform trading volume may limit near-term revenue growth. Mizuho lowered Gemini's 2027 revenue forecast by approximately 24%, reflecting the overall weak trading environment in the crypto market. At the same time, the company's revenue structure continues to change, with service revenue, including credit card and interest income, expected to account for 43% of total revenue, higher than the previous forecast of 36%. Gemini credit card transaction volume will exceed US$1.2 billion in 2025, generating approximately US$33 million in net income. In addition, Gemini has laid off approximately 30% of its workforce and exited multiple international markets, and is expected to reduce spending by approximately 12% by 2027.