Morgan Stanley Downgrades Circle Internet to Underweight, Cuts Price Target to $38

Odaily News: Morgan Stanley downgraded stablecoin issuer Circle Internet to Underweight and cut its price target from $106 to $38. The bank also lowered its supply forecast for Circle Internet's USDC stablecoin through 2028, citing weaker reserve income and an increasing share of low-margin revenue. Analysts noted that intensifying competition from tokenized cash products and new stablecoin models could pressure Circle Internet's profitability.