Robinhood Shares Fall 14% on Q1 Earnings Miss

Robinhood Markets shares tumbled nearly 14 percent on Wednesday, closing around $72 after the online brokerage reported first-quarter 2026 results that missed Wall Street estimates, primarily due to a 47 percent year-over-year plunge in cryptocurrency transaction revenue.

The company posted revenue of $1.07 billion, up 15 percent from a year earlier but short of the $1.14 billion consensus forecast. Adjusted earnings per share came in at $0.38, below expectations of $0.39. Crypto revenue fell to $134 million from $252 million in the prior-year period, with app trading volume dropping 48 percent to $24 billion. Executives attributed the weakness to softer retail crypto trends amid broader market volatility, including bitcoin's decline from a January high near $88,600 to a March low around $68,500.

Transaction-based revenue rose 7 percent to $623 million, buoyed by strength in other areas. Event contracts and prediction markets set records, with users executing 8.8 billion contracts and generating $147 million in other transaction revenue, up 320 percent year over year. Options revenue increased 8 percent to $260 million, while equities revenue grew 46 percent to $82 million....