On February 11, The Block reported that Robinhood's stock price fell on Tuesday after the company reported a year-over-year decline in fourth-quarter crypto revenue. However, analysts at research and brokerage firm Bernstein stated that this weakness reflects temporary "crypto market jitters" and reiterated their $160 price target.
Robinhood's total revenue hit a record high, but cryptocurrency trading revenue fell 38% year-over-year to $221 million. Bernstein analysts stated that the weaker revenue due to declining crypto trading activity was "expected," and added that "there's no need to turn bearish when the stock price is near a short-term low." Despite "crypto market jitters," several of the company's business metrics remained "solid" in the fourth quarter. Furthermore, Robinhood Banking, launching in late 2025, has attracted over 25,000 deposited customers with a combined account balance exceeding $400 million.
Analysts point out that Robinhood's prediction market has set a new record, accounting for approximately 14% of trading revenue and 8% of total revenue. The platform traded 8.5 billion contracts in the fourth quarter, far exceeding previous expectations. The report shows that trading volume at the beginning of 2026 has already reached $4 billion, while the previous forecast for 2026 trading volume was $27 billion.
