HYPE, the native token of Hyperliquid, recently traded around $54, marking a 29% drop from its mid-June peak. Despite this pullback, Grayscale Research argues the token remains undervalued when compared to leading fintech and crypto equities.
Zach Pandl, Grayscale's Head of Research, applied an "earnings per token" framework to evaluate Hyperliquid, an adaptation of traditional earnings-per-share models tailored for tokenized assets. Their forecast projects Hyperliquid generating roughly $1 billion in earnings by 2027, a 20% increase from 2025, fueled by a rebound in crypto trading volumes and steady income from stablecoin reserves.
The company’s innovative Aligned Quote Asset system could unlock an additional revenue stream by directing part of the stablecoin reserve income directly to the protocol. Grayscale estimates the circulating supply of HYPE tokens will be between 270 million and 310 million by late 2027, translating to $3.25 $3.75 in earnings per token.
At the current price level, this implies a forward price-to-earnings multiple between 15 and 18, which Grayscale highlights as notably lower than many fintech peers despite HYPE’s gains earlier this year. For context, Circle trades near 40 times projected 2027 earnings, Coinbase near 36 times, and Robinhood around 35 times. HYPE’s valuation sits just above PayPal, which trades close to 10 times earnings.
Grayscale’s analysis suggests Hyperliquid's faster anticipated earnings growth could justify a higher valuation, though this hinges on the company meeting its revenue and earnings goals in the coming years. The firm cautioned two primary risks: slower-than-expected network revenue growth and a faster increase in token supply, both of which could pressure HYPE’s valuation.
