JPMorgan analysts have initiated coverage of Circle (CRCL) shares with an underweight rating and set a target price of $80 by December 2026, down 55% from the current price of $180. This target reflects a premium to its initial public offering price of $31 but a significant discount to current values. While recognizing Circle's strong position in the stablecoin market due to its early-mover advantage, analysts expressed concerns regarding competition and elevated current market capitalization of $43.8 billion. They predict a market cap of approximately $21 billion by late 2026. Potential risks include US stablecoin regulations, which may impose higher capital requirements, and the rise of central bank digital currencies (CBDCs), which could hinder Circle's international growth and profitability.

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