Get Breaking Alerts on Stocks Before The Mainstream Media

Stay informed of the biggest news on stocks so you can react before 90% of retail investors.
Email address
We guarantee you to keep your privacy
Connect with us
Financial Press
earnings-results:-robinhood-stock-falls-more-than-8%-as-crypto-trading-dries-up
earnings-results:-robinhood-stock-falls-more-than-8%-as-crypto-trading-dries-up

Breaking

Earnings Results: Robinhood stock falls more than 8% as crypto trading dries up

Shares of Robinhood Markets Inc. fell more than 8% in the extended session Tuesday after the online trading platform reported a wider quarterly loss and lower-than-expected sales, saying lower crypto-related revenue led to “considerably fewer” new funded accounts and dragged quarterly revenue down.

Robinhood
HOOD,
+1.44%

said it lost $1.32 billion, or $2.06 a share, in the third quarter, compared with a net loss of $11 million, or 5 cents a share, in the third quarter of 2020, and a FactSet consensus of a loss of 67 cents a share.

Sales rose 35% to $365 million, compared with $270 million in the third quarter of 2020. Analysts polled by FactSet expected sales of $437 million for the quarter.

Get Breaking Stock Alerts

Stay informed of the biggest news on stocks so you can react before 90% of retail investors.
Email address
We are Spam free & Secure 🙂

“Crypto activity declined from record highs in the prior quarter, leading to considerably fewer new funded accounts, a slight decline in net cumulative funded accounts, and lower revenue in the third quarter of 2021 compared with the second quarter of 2021,” the company said in a statement.

For the fourth quarter, some of the factors that weighed on the third quarter results, “such as seasonal headwinds and lower retail trading activity, may persist,” Robinhood said.

The company guided for fourth-quarter revenue “no greater than $325 million” and full-year revenue of less than $1.8 billion. The analysts surveyed by FactSet expect fourth-quarter revenue of $497 million and full-year revenue of $2 billion.

The company also said it expects that new funded accounts for the fourth quarter will be roughly flat compared with the 660,000 opened in the third quarter of 2021.

Robinhood went public in July, and shares skyrocketed to more than double its initial public offering price.

Written By

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

Breaking

I own a home with my ex-husband. He agreed to pay my half of the mortgage. In the final judgment, the judge said I...

Breaking

There was blood on the floor across U.S. stocks on Friday, but for meme stocks only a frantic last hour of buying prevented social...

Breaking

A pair of Iranian hackers have been charged with breaking into a Missouri tech firm’s cloud-computing account and running up a $760,000 bill while...

Breaking

DocuSign Inc. emerged as a hot pandemic stock play last year as it benefited from the need for digital contract tools, but the company...

Get Breaking Stock Alerts

Stay informed of the biggest news on stocks so you can react before 90% of retail investors.
Email address
We are Spam free & Secure :)

Get Breaking Stock Alerts

Email address

Get Breaking Stock Alerts

Stay informed of the biggest news on stocks so you can react before 90% of retail investors.
Email address