Robinhood Q3 Earnings Top Analysts' Expectations as Crypto Revenue Surges Over 300%

Robinhood Markets reported $1.2 billion in revenue for Q3, almost doubling from the previous year, and exceeding analysts' expectations. The firm's earnings per share reached $0.61, a 217% increase year-over-year, and profits totaled $556 million. This remarkable growth is largely attributed to a surge in crypto transaction revenues, which increased over 300% to $268 million. Despite a slight dip in share price following the announcement, Robinhood's stock has surged approximately 260% year-to-date, outperforming competitors like Coinbase. The company is expanding its prediction markets and launching Robinhood Banking. Analysts at Compass Point maintained a 'buy' rating and raised the price target to $161, driven by ongoing growth and the introduction of NFL betting markets. Although transaction-based income was slightly below forecasts, the overall performance marks a significant milestone for the firm in a challenging economic environment.

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