Needham’s top analyst, John Todaro, remains highly bullish on Circle Internet Group (CRCL) following its stronger-than-expected second-quarter results. In a recent research note, he wrote, “Circle is at the forefront of what we expect will be a period of rapid stablecoin adoption in the U.S. and globally.” Todaro reiterated his “Buy” rating on CRCL stock and price target of $250, implying an impressive 81.4% upside potential from current levels.
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Todaro is a five-star analyst on TipRanks, ranking #45 out of 9,983 analysts tracked. He boasts a 69% success rate and an average return per rating of 49.20%.
Circle Positioned as a Key Beneficiary of the GENIUS Act
Circle is the issuer of USDC, the world’s second-largest stablecoin. Todaro believes that Circle is among the biggest beneficiaries of the GENIUS Act due to its strong regulatory compliance. He noted that USDC supports a wide range of applications, including decentralized finance (DeFi), payments, institutional settlement, and global remittances. These use cases have helped build a market cap exceeding $60 billion, driving high-margin interest income for Circle.
On August 12, Circle reported Q2FY25 results that beat expectations. The outperformance was driven by higher USDC activity on its platform and stronger-than-expected subscription and services revenue. Following the earnings release, Todaro raised his 2025 sales and EBITDA estimates, projecting continued growth in USDC supply, ecosystem adoption, and incremental revenue streams.
Circle’s Strategic Initiatives Will Drive Future Growth
Todaro is impressed by Circle’s launch of Arc, its proprietary layer-1 blockchain. Arc is designed to generate “gas fees” payable in USDC, creating an additional revenue stream. Over time, Todaro sees potential competition between Ethereum and Arc for USDC-related transactions, a dynamic that could reshape stablecoin infrastructure.
Looking ahead, he expects Circle to capture a growing share of the global stablecoin market while also monetizing innovations like the Circle Payments Network and developer-focused services, including the Cross-Chain Transfer Protocol.
To conclude, Todaro forecasts that Circle will play a leading role in the rapid adoption of stablecoins globally over the next five years, benefiting from both regulatory alignment and the expansion of its technology and service offerings.
Is CRCL Stock a Buy?
Not all analysts share Todaro’s enthusiasm for Circle stock, mainly because its shares have already surged 345% since its IPO in June 2025. On TipRanks, CRCL stock has a Hold consensus rating based on six Buys, six Holds, and four Sell ratings. The average Circle Internet price target of $177.93 implies 29.1% upside potential from current levels.
