• JPMorgan upgrades Circle to 'overweight' with a $100 price target, citing strong Q3 results and stablecoin adoption
  • Circle shares have gained 178% from their $31 IPO price but remain significantly below June highs
  • Analyst Kenneth Worthington sees growing mainstream acceptance of stablecoins, with Circle's USDC leading the trend

JPMorgan has turned decisively bullish on Circle Internet Financial, upgrading the stablecoin pioneer to 'overweight' from 'underweight' and raising its price target to $100 from $94. The move signals approximately 16% upside potential from current levels and reflects growing confidence in Circle's fundamental trajectory.

Analyst Kenneth Worthington pointed to Circle's impressive third-quarter financial performance as a key driver behind the upgrade. The company reported revenue of $740 million, representing a 66% year-over-year increase, while earnings per share of $0.64 crushed analyst forecasts by 88%. Adjusted EBITDA surged 78% to $166 million, demonstrating robust operational efficiency.

"The improving fundamentals combined with Circle's positioning in the stablecoin ecosystem create a compelling investment case," Worthington wrote in a research note circulated to clients early Thursday. He specifically highlighted that stablecoins are "moving further into mainstream finance" with Circle's USDC currency leading this charge.

Circle shares, trading under the ticker CRCL, responded positively to the upgrade, climbing more than 1% in pre-market trading. The stock has delivered impressive returns for early investors, sitting 178% above its $31 IPO price, though it remains 67% below the peaks reached in June. Worthington characterized this disconnect as a buying opportunity, suggesting the market has yet to fully price in Circle's growth prospects and the broader stablecoin adoption curve.

The upgrade comes amid increasing institutional interest in stablecoins as bridges between traditional finance and digital assets. Circle's recent partnership with cryptocurrency exchange Kraken in September 2025 underscores the expanding utility and integration of USDC across financial platforms. Industry sources familiar with the matter indicate that several major financial institutions are exploring similar stablecoin integrations, though most remain in early testing phases.

Circle representatives did not immediately respond to requests for comment on the JPMorgan upgrade. However, people familiar with the company's strategic direction note that management has been actively engaging with regulators and traditional finance counterparts to position USDC as a compliant digital dollar alternative.

While regulatory uncertainty persists in some jurisdictions, the growing acceptance among established financial players suggests stablecoins are gradually shedding their crypto-native image and becoming recognized as legitimate financial instruments. JPMorgan's bullish stance represents a significant validation of this trend and could prompt other major banks to reconsider their positions on digital currency infrastructure.

Correction: An earlier version of this article misstated the percentage by which Circle's Q3 earnings exceeded analyst forecasts. The correct figure is 88% above expectations.