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Robinhood misses quarterly profit estimates as softer crypto activity outweighs robust trading
Options, equities and prediction markets offset the crypto slump, but adjusted expenses and weaker interest income still weighed on profit.
- On Tuesday, October 27, 2026, Robinhood Markets reported record third-quarter revenue of $1.42 billion, a 12% year-over-year increase, though cryptocurrency transaction revenue plunged 55% to $120 million.
- Geopolitical tensions and rising oil prices prompted retail traders to retreat from speculative bets as Bitcoin and Ethereum prices fell 28.5% and 41.1% respectively over the past three months, shrinking trade values.
- Options trading revenue climbed 31% to $399 million while prediction markets surged more than sixfold to $173 million, with Robinhood's event contracts hitting a record 16.4 billion contracts traded.
- Robinhood shares fell 7% in extended trading Tuesday, as the company's $0.51 per share profit missed the $0.55 consensus estimate, with net income dropping 14% to $476 million.
- Chief Financial Officer Shiv Verma warned that early indications show tighter spreads in the fourth quarter, clouding the recovery outlook as management monitors how market conditions evolve over the next two months.
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Robinhood Slides, Wendy's Rallies
Today's biggest winners and losers in the stock market. On this episode of Stock Movers: Robinhood (HOOD) is declining after the brokerage reported third-quarter earnings per share that missed consensus estimates. Etsy (ETSY) shares are gaining after the online retail company reported third-quarter results that beat expectations on key metrics. It also announced that its CFO Lanny Baker will depart to pursue opportunities outside of Etsy. Wendy…
·New York, United States
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Robinhood Sinks 7% as Crypto Slump and Tighter Spreads Overshadow Record Prediction Markets Quarter; Interactive Brokers Edges Higher, Webull Barely Budges
Robinhood just posted record numbers in its newest business while watching two of its biggest revenue engines sputter at the same time, and the stock is paying the price as rival platforms shrug off the quarter entirely.
·Lakewood, United States
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Coverage Details
Total News Sources50
Leaning Left2Leaning Right5Center10Last UpdatedBias Distribution59% Center
Bias Distribution
- 59% of the sources are Center
59% Center
12%
C 59%
R 29%
Factuality
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