Overview
- Robinhood, which reported first-quarter results Tuesday, April 28, posted $1.07 billion in revenue and earnings of $0.38 per share, missing Wall Street estimates.
- Fees from crypto trades fell about 47% from a year earlier as take rates on crypto and options slipped, reducing the per-trade cut Robinhood keeps.
- Shares dropped about 13% on Wednesday’s session after the miss as management lifted 2026 adjusted expense and stock-based pay guidance by roughly $100 million to fund new products.
- Analysts diverged after the report, with Barclays trimming its target to $82 with an overweight call, KBW cutting to $65 with a Hold, and Bernstein and Cantor staying bullish with targets at $130 and $110.
- The next day ARK Invest bought about $39.7 million of stock, as Robinhood pushes diversification into prediction markets, tokenization, and the Trump Accounts app to reduce reliance on trading fees.