New York, Feb 11, 2026, 08:52 (EST) — Early hours, premarket action.
Robinhood Markets Inc was trading lower before the bell on Wednesday, with shares slipping roughly 1% to $85.60.
Robinhood shares dropped 6.3% in after-hours trading Tuesday. The company delivered a record $1.28 billion in fourth-quarter revenue, falling short of analysts’ $1.34 billion forecast as crypto trading lost steam. Revenue from cryptocurrency trading plunged 38% to $221 million, trailing expectations. In contrast, equities revenue surged 54%, while options climbed 41%. Still, CFO Shiv Verma told Reuters that although the firm’s most active crypto traders “were still really active,” most landed in lower-priced tiers, which ended up dragging down the rebate rate. Reuters
This report is in focus—Robinhood remains deeply tied to brisk trading, with crypto as the wild card. The big question for investors: will gains in stocks, options, and subscription products be enough to hold revenue steady if digital asset trading cools off?
Robinhood’s CEO Vlad Tenev touted the company’s push toward a “Financial SuperApp” in the latest earnings statement. On the outlook, Verma described 2025 as “a record year” for deposits, trading volumes, revenue, and profit. For the full year, Robinhood posted net revenue of $4.5 billion and noted it bought back $100 million worth of shares during the quarter. SEC
Platform assets jumped 68% from a year ago, hitting $324 billion, and net deposits came in at $15.9 billion for the quarter, Barron’s reported. The margin book surged 113% to $16.8 billion, reflecting more customers borrowing to trade. Barron’s also noted heavy activity in prediction markets: 8.5 billion event contracts changed hands during the quarter.
Robinhood is stretching past its core stock and options platform, reaching into banking, advice, and prediction markets—including contracts that hinge on sports results. According to The Wall Street Journal, much of the action in these prediction markets is clustered around sports bets, which means trading volume could swing sharply depending on the sports calendar.
Management is pointing to a bigger budget. According to MarketWatch, Robinhood projects operating expenses for 2026—including share-based compensation—to land between $2.6 billion and $2.725 billion. The company is pouring more into marketing, rolling out new products, expanding overseas, and taking on a full year of costs from previous deals like Bitstamp and TradePMR.
Robinhood pulled back the curtain on its January numbers: net deposits hit $4.5 billion, and margin balances soared 121% year-over-year to $18.4 billion. Traders moved 3.4 billion event contracts that month, while crypto notional trading volume checked in at $22.9 billion. (Notional refers to the total value traded.)
Crypto stocks slipped early Wednesday. Bitcoin dropped roughly 2.4%, while Coinbase shares fell about 2.8% in premarket action.
Longer crypto slumps—or an options activity dip—threaten to crimp transaction revenue even as expenses keep climbing. And if regulators take a tougher line on prediction markets, Robinhood could see another new fee source pinched.
All eyes turn to HOOD at the 9:30 a.m. ET opening bell to see where it heads next—and if its early-quarter deposit and trading momentum can stick after the earnings shakeout.
