TLDR
- Compass Point’s Ed Engel launched coverage of Webull (BULL) with a Buy recommendation and $9 price objective, signaling potential upside of approximately 64%.
- The analyst highlighted expansion in crypto trading and prediction markets as primary catalysts for the 2026–2028 period.
- Despite trading at roughly 20x earnings — comparable to Robinhood and Interactive Brokers — Webull is expanding at a faster pace.
- Quarterly revenue jumped to $165.2M from $110.3M in the prior-year period, reflecting robust growth fueled by increased trading volumes.
- Five analysts tracking the stock have an average price objective of $13.00, though opinions remain divided with several recent rating cuts.
Webull has secured a positive endorsement from a Wall Street research firm. Compass Point’s Ed Engel launched his firm’s coverage with a Buy recommendation and set a $9 price objective, pointing to potential gains of roughly 64% from current levels.
Webull Corporation Class A Ordinary Shares, BULL
Engel characterized Webull as “a new name to watch” — positioning the online brokerage as a company in its growth phase with significant runway ahead.
The shares are currently changing hands around $5.48, a substantial distance from the 52-week peak of $79.56. That dramatic range highlights the considerable price swings shareholders have experienced.
Webull’s trading platform enables individual investors to trade equities, exchange-traded funds, options contracts, and cryptocurrencies through both mobile applications and desktop interfaces. While operating in a competitive marketplace, the company has built a loyal user base among frequent traders.
Engel’s optimistic outlook hinges on two emerging revenue streams: prediction markets and cryptocurrency trading. Both offerings launched in 2025 and are projected to fuel stronger-than-average expansion through 2028.
The analyst anticipates these business segments will enable Webull to outpace competitive growth rates from rivals like Robinhood (HOOD) and Interactive Brokers (IBKR) in coming years.
Valuation and Revenue Growth
From a valuation perspective, Webull currently commands approximately 20 times earnings — a multiple that matches those more mature competitors. Engel’s thesis is straightforward: superior growth should eventually command a premium valuation rather than a discount.
Revenue performance has been impressive thus far. Webull’s latest financial report showed $165.2 million in revenue, compared with $110.3 million in the year-ago quarter. That represents close to 50% growth on a year-over-year basis.
The revenue acceleration stemmed from elevated trading activity and improved user participation throughout the platform.
Engel expects the stock could receive a higher valuation multiple as institutional money managers begin focusing more intently on Webull’s financial performance.
Currently, hedge funds and institutional investors control approximately 92.48% of outstanding shares, indicating substantial professional investor support already exists.
Analyst Ratings Are Split
Engel’s positive stance isn’t universally shared across Wall Street. The aggregated view from five research firms lands at “Moderate Buy,” but individual opinions vary considerably.
Among the five analysts, one has issued a sell rating, one rates it a hold, two recommend buying, and one maintains a strong buy. Their collective 12-month price objective averages $13.00.
Rosenblatt Securities recently reduced its target from $15.00 down to $12.00 while maintaining its buy recommendation. Zacks Research downgraded Webull from strong-buy to hold in February. Wall Street Zen shifted to a sell rating this past weekend.
Regarding institutional activity, multiple investment funds established new positions in recent reporting periods. Jones Financial Companies expanded its holdings by 860.7% during Q3. Legal & General Group, Osaic Holdings, and Tower Research Capital each initiated fresh positions.
Technically, the stock’s 50-day moving average stands at $7.05 while the 200-day average rests at $9.81 — both comfortably above today’s price of $5.48.
