Investment Rating - The report suggests a positive outlook for Robinhood, indicating that the company is expected to benefit significantly from the resonance of U.S. stocks and crypto assets, with a recommendation to actively monitor the company [5]. Core Insights - In Q4 2024, Robinhood reported total net revenue of $1.014 billion, exceeding Bloomberg consensus expectations of $940 million, with a year-over-year increase of 115% and a quarter-over-quarter increase of 59% [1]. - The net profit for Q4 2024 reached $916 million, far surpassing the consensus estimate of $390 million, reflecting a year-over-year increase of 2953% and a quarter-over-quarter increase of 511% [3]. - The company achieved a GAAP net profit of $1.411 billion for the entire year of 2024, marking a significant turnaround from losses in the previous year [3]. Revenue Breakdown - In Q4 2024, revenue from trading-related activities was $672 million, representing a year-over-year increase of 236% and a quarter-over-quarter increase of 111%, accounting for 66% of total net revenue [2]. - Cryptocurrency commission revenue surged to $358 million, an increase of 733% year-over-year and 487% quarter-over-quarter, making up 53% of total trading-related revenue [2]. - Net interest income for Q4 2024 was $296 million, up 25% year-over-year and 8% quarter-over-quarter, contributing 29% to total net revenue [2]. Customer Metrics - As of Q4 2024, Robinhood had 25.2 million funded accounts, an 8% increase year-over-year, and 2.64 million GOLD subscription users, an 86% increase year-over-year [4]. - The total customer assets reached $192.9 billion, reflecting an 88% year-over-year increase and a 27% quarter-over-quarter increase [4]. - In January 2025, the company reported strong operational data, with net deposits being the second highest in history and significant year-over-year growth in trading volumes across various asset classes [4].

Core Viewpoint - Analysts have raised price targets for Robinhood shares following strong fourth-quarter results, highlighting impressive profitability metrics and accelerating growth [1][2]. Financial Performance - Robinhood reported Q4 revenue of $1.01 billion, exceeding estimates of $944.62 million, and earnings of $1.01 per share, surpassing estimates of 42 cents per share [1]. - Total revenue increased by 115% year-over-year, driven by strong transaction-based revenue growth across equities, options, and cryptocurrency [2]. - Net deposits reached a record of $16.1 billion in the quarter, with accounts growing by 10% [2]. Analyst Ratings and Price Targets - KeyBanc maintained an Overweight rating and raised the price target from $57 to $75, citing improving profitability and momentum with key product initiatives [2][3]. - JMP Securities maintained a Market Outperform rating and increased the price target from $60 to $77, describing the quarter as a "blowout" [4]. - Needham maintained a Buy rating and raised the price target from $52 to $70, noting strong growth and expense discipline [6]. - Goldman Sachs maintained a Buy rating and raised the price target from $54 to $62, calling it a "well-rounded quarter" [7][8]. - JPMorgan maintained a Neutral rating and raised the price target from $39 to $45, expressing caution regarding unproven business lines and valuation [9][10]. Growth Drivers and Market Position - Analysts believe Robinhood is well-positioned to continue its leadership in the financial application space, with expectations of growing average revenue per user due to strong engagement and new product uptake [3]. - The company is expected to benefit from positive regulation in the crypto space and aims to launch new crypto-related products appealing to retail customers by 2025 [7]. - Analysts noted that Robinhood's platform is maturing and evidencing profitability, with several growth drivers on the product roadmap not yet reflected in market estimates [6][9]. Stock Performance - Robinhood shares have increased by 67% year-to-date and over 360% in the past year, reflecting significant progress despite some analysts remaining cautious about new products and competition [10][11].

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Robinhood Markets (HOOD 10.30%) stock soared 12.5% through 11 a.m. ET Thursday after crushing its Q4 earnings report last night.Analysts thought the online brokerage app would earn $0.52 per share in its fourth quarter of fiscal 2024, but Robinhood nearly doubled that number at $1.01 per share. Sales were expected to land at $951.8 million, but the company reported more than $1 billion in sales, more than a 100% increase. Robinhood Q4 earningsRobinhood sales grew 115% year over year in Q4, with gains from i ...

Robinhood Markets (HOOD) stock soared out of the gate Thursday after the online investing platform crushed top- and bottom-line expectations for its fourth quarter.In the three months ending December 31, Robinhood's revenue more than doubled year over year to $1 billion, driven by transaction-based revenue that tripled to $672 million. This included a sevenfold surge in cryptocurrencies revenue to $358 million. Its earnings per share (EPS) improved to $1.01 from 3 cents in the year-ago period."Q4 was a reco ...

Robinhood Markets, Inc. (NASDAQ:HOOD) Q4 2024 Earnings Conference Call February 12, 2025 5:00 PM ET Company Participants Vlad Tenev - Chairman and Chief Executive Officer Jason Warnick - Chief Financial Officer Jack Riehemann - Senior Manager, Investor Relations Conference Call Participants Mike Cyprys - Morgan Stanley Dan Dolev - Mizuho Patrick Moley - Piper Sandler Steven Chubak - Wolfe Research Brian Bedell - Deutsche Bank Devin Ryan - Citizens JMP Alex Markgraff - KeyBanc Ben Budish - Barclays Ken Worth ...

For the quarter ended December 2024, Robinhood Markets, Inc. (HOOD) reported revenue of $1.01 billion, up 115.3% over the same period last year. EPS came in at $0.54, compared to $0.03 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $940.65 million, representing a surprise of +7.80%. The company delivered an EPS surprise of +28.57%, with the consensus EPS estimate being $0.42.While investors scrutinize revenue and earnings changes year-over-year and how they compare ...

Robinhood Markets, Inc. (HOOD) came out with quarterly earnings of $0.54 per share, beating the Zacks Consensus Estimate of $0.42 per share. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 28.57%. A quarter ago, it was expected that this company would post earnings of $0.18 per share when it actually produced earnings of $0.17, delivering a surprise of -5.56%.Over the last four quarters, the ...

Robinhood Markets, Inc. Earnings Presentation Fourth Quarter 2024 February 12, 2025 investors.robinhood.com •‧•‧•‧‧•‧‧‧•••‧•‧‧‧‧ Q4 2024 | Earnings Presentation Disclaimers This Presentation Relates to Robinhood's Broader Earnings Announcement Disclosures This presentation accompanies the fourth quarter and full year 2024 earnings announcement webcast of Robinhood Markets, Inc. (including its consolidated subsidiaries, "we," "Robinhood," or the "Company") and should be read together with Robinhood's earning ...

Financial Data and Key Metrics Changes - The company achieved over $1 billion in revenue for the first time in Q4, totaling over $3 billion for the full year, representing a 58% increase from 2023 [5][14] - Adjusted EBITDA increased over 160% to $1.4 billion, with an adjusted EBITDA margin growing to 48% [14][15] - Earnings per share reached $1.56, marking the first full year of positive net income [15] Business Line Data and Key Metrics Changes - Robinhood Gold subscribers reached a record of 2.6 million, an 80% year-over-year growth, with a gold attach rate exceeding 10% across the overall customer base [10][15] - The new derivatives business, including futures and event contracts, was launched, contributing to strong business results [9][10] - Annualized gold subscription revenue increased to over $170 million [15] Market Data and Key Metrics Changes - Market share for equities and options rose by 30% year-over-year [10] - Record net deposits exceeded $50 billion, reflecting nearly 50% growth [10] - January 2025 saw net deposits as the second highest month ever, with trading volumes for equities, options, and crypto showing double to triple-digit growth rates [21] Company Strategy and Development Direction - The company aims to be the number one global financial ecosystem, focusing on active traders and wallet share for the next generation [6][24] - Plans for 2025 include expanding the Robinhood Gold Card user base significantly and enhancing product offerings [25][26] - The company is investing in a non-custodial crypto wallet and exploring tokenization of traditional assets onto crypto technology [28][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving another year of double-digit revenue growth driven by product innovation and market share gains [17][19] - The company is monitoring the regulatory environment closely and is optimistic about future growth opportunities in both traditional and crypto markets [56][58] - Management highlighted the importance of balancing rapid growth with prudent risk management in credit offerings [34][40] Other Important Information - The company is over a quarter of the way through its $1 billion share buyback program, anticipating a flat diluted share count in 2025 [20] - The company is focused on maintaining a disciplined approach to expenses while investing in growth [19] Q&A Session Summary Question: When will the gold credit card be available to a broader audience? - The company plans to double the number of cardholders soon and aims to grow significantly throughout the year, balancing speed of rollout with prudent risk management [32][34] Question: Will Robinhood offer deeper analysis on individual stocks within the app? - Yes, the company aims to provide the best research and tools in-app, focusing on enhancing charting and technical analysis features [36][38] Question: Will Robinhood offer loans such as microloans or auto loans? - The company plans to address customer borrowing needs through margin products and credit cards, with a focus on expanding these offerings [39][41] Question: What hurdles might the company face in achieving its ambitious goals? - The company recognizes competition in the financial services space and emphasizes the need for continuous innovation and investment in technology [45][46] Question: Can you elaborate on the plans for sports contracts? - The company sees prediction markets as the future and aims to lead in this area, despite current regulatory uncertainties [49][51] Question: What is the outlook for the crypto offering and regulatory clarity? - The company is prepared to expand its crypto offerings as regulatory clarity improves, with a focus on tokenization of real-world assets [54][56] Question: How does the company view the impact of interest rates on trading volumes? - The company believes it can thrive regardless of interest rate changes, with a diversified business model that supports growth [82][85] Question: What are the growth drivers for 2025 regarding deposit incentives? - The company is experimenting with personalized deposit incentives and has seen significant growth in net deposits [88][91] Question: How are new gold members performing? - New gold members show increased asset growth and product adoption, with a strong attach rate among new customers [94][97] Question: What is the strategy for international expansion? - The company plans to expand internationally, starting with equities and building on existing products, aiming for a comprehensive suite of services [99][101]