Robinhood shares fell sharply after the company released fourth-quarter results on February 10. It reported $1.3 billion in revenue and $221 million in crypto sales, a 38% year-over-year drop.
Bitcoin’s roughly 23% year-to-date decline in 2026 weighed on crypto revenue. Crypto now represents about 20% of the platform’s revenue (Ed. note: this increases sensitivity to market swings).
Earnings per share beat at $0.66 versus $0.63 expected, though EPS declined about 35% year-over-year. A $0.47 tax benefit boosted Q4 2024 results and complicated comparisons.
Shares traded near $71.12 and fell as much as 13% intraday after the report. The stock has fallen about 34% year-to-date and nearly 50% from its October 2025 peak.
Wall Street price targets cluster near $127, implying roughly 64% upside from current levels. The recent average target sits near $134, suggesting about 72% potential gains for long-term holders.
Full-year 2025 revenue rose 52%, while adjusted operating expenses increased about 22%. Adjusted EBITDA margin reached 56.4% and net deposits grew roughly 35%.
Shiv Verma highlighted record 2025 results and said management is focused on profitable growth. Vlad Tenev said, “We want active traders to feel like they are at a disadvantage trading anywhere but Robinhood Markets, Inc.”
