- Robinhood Markets CEO Vlad Tenev emphasized the company’s diversified business, with 11 distinct lines now each generating over $100 million in annual revenue.
- The firm’s cryptocurrency revenue fell 47% year-over-year to $134 million in Q1, accounting for just 13% of its total revenue.
- HOOD’s stock fell over 13.5% Wednesday following Q1 earnings results that missed Wall Street estimates for both adjusted EPS and revenue.
Robinhood Markets (HOOD) CEO Vlad Tenev stated in a CNBC interview Wednesday that market perception of his firm “lagging reality,” as many investors still view it primarily as a cryptocurrency platform. Tenev highlighted the company’s financial strength, saying, “If you look at the overall financial profile of the business, we’ve got 11 business lines that generate $100 million or more in annual revenue”. Consequently, HOOD’s stock plunged more than 13.5% in morning trading, erasing its April gains.
This tumble followed the company’s Q1 report, where Robinhood posted adjusted earnings of $0.47 per share and revenue of $1.07 billion. However, both figures missed Wall Street estimates according to reports. Cryptocurrency revenue specifically saw a sharp 47% decline from the same quarter last year. Meanwhile, Tenev explained the firm is actively investing to diversify beyond crypto and options trading.
One key investment is the initiation of Trump Accounts, which Tenev said will put Robinhood in front of millions of eligible children. The company raised its 2026 combined adjusted operating expense and share-based compensation guidance accordingly. Barclays and Keefe Bruyette subsequently trimmed their price targets on HOOD’s stock after the earnings miss, according to data. Bernstein, conversely, maintained its target of $130, suggesting shares had already bottomed in Q1.
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