NEW YORK, Feb 3, 2026, 19:09 (ET) — Trading continued after hours
- Shares ended the day down 3.2% and fell another 0.8% in after-hours trading.
- The stock has dropped in back-to-back sessions amid ongoing volatility in crypto and other risk assets.
- All eyes are on the Feb. 10 earnings report, with investors also watching for early signals from the UK ISA rollout.
Robinhood Markets, Inc. (HOOD) shares slipped 3.2% on Tuesday, ending the day at $87.07, and dipped another 0.8% in after-hours trading to $86.40. The stock had already tumbled 9.6% the previous day.
This shift is crucial since Robinhood often mirrors retail risk appetite sharply, particularly amid volatile crypto prices. Investors are bracing for a critical earnings period, searching for evidence that trading activity remains steady despite the recent downturn.
Crypto markets have taken a hit. Bitcoin traders wiped out $2.56 billion in liquidations over the past few days, according to data from CoinGlass, as cryptocurrencies fell in line with other risky assets. “People [are] taking a step back while they have to reassess their risk frameworks,” said Adam McCarthy, senior research analyst at Kaiko. Reuters
Sentiment has been shaky. Wall Street dropped sharply Tuesday as concerns grew over AI-driven competition pressuring software firms, dragging big tech down ahead of upcoming earnings. “We’re seeing a lot of software companies across the spectrum get hit,” said Art Hogan, chief market strategist at B. Riley Wealth. Reuters
Robinhood UK is set to roll out a stocks & shares ISA this week. The account, known for tax advantages, will come with no platform fees or commissions, though there’s a 0.10% FX charge on each trade. On top of that, the firm is dangling a 2% cash bonus for eligible contributions made before April 5, 2026—customers must hold these funds for a year to qualify.
The brokerage announced that the ISA will open up roughly 5,000 U.S.-listed stocks and American depositary receipts (ADRs) to UK investors — allowing trades in both whole and fractional shares. ADRs are certificates enabling investors to buy foreign shares through the U.S. market. “Investing should be rewarding, not costly,” said Jordan Sinclair, president of Robinhood UK. Investing.com
Analysts are flagging some near-term challenges. Piper Sandler kept its Overweight rating and $155 price target but highlighted a slowdown in cryptocurrency trading volumes and the football season ending as headwinds for the company’s prediction-market revenue. They also questioned how long the recent surge in retail trading momentum can be sustained. The firm noted Robinhood’s beta of 2.45, indicating the stock is more volatile than the broader market and can swing sharply.
A new regulatory filing gave traders fresh insight into insider moves. On Tuesday, Chief Brokerage Officer Steven Quirk submitted a Form 144 indicating plans to offload 52,540 shares valued at roughly $4.72 million. The sale is set to go through Morgan Stanley Smith Barney on Nasdaq, targeting a date near Feb. 3.
Robinhood’s zero-commission approach has put significant pressure on the brokerage sector. J.P. Morgan noted that U.S. brokers and custodians might start charging distribution fees to ETF managers as they hunt for new revenue streams post the shift to $0 commissions. This move follows the footsteps of industry giants like Fidelity Investments and Charles Schwab, who have dropped trade commissions on ETFs down to zero.
Robinhood bulls face a clear risk: if crypto prices continue to drop, trading volumes could slump fast, dragging revenue down too. With its high beta, the stock doesn’t need much of a push to tumble sharply.
Robinhood is set to release its fourth-quarter and full-year 2025 earnings after the market closes on Feb. 10. Investors will be watching closely for updates on crypto and options trading volumes, user engagement, and any initial impact from the UK ISA launch.
