Despite Strong Q2 Earnings, Robinhood Struggles to Win Over Analysts

Robinhood Delivers Strong Q2, But Wall Street Stays Measured Despite Rally

Robinhood (HOOD) reported robust second-quarter earnings on Wednesday, prompting several Wall Street firms to lift their price targets. Yet, despite the upbeat results and a share price that has nearly tripled since April, analysts remain cautious, offering only modest revisions and largely sticking to neutral ratings.

The stock edged higher Thursday morning, trading at $106.50.

Price Targets Rise, But Ratings Stay Neutral

Citi raised its target price from $100 to $120 but kept a neutral stance. Analyst Christopher Allen acknowledged the stronger earnings outlook but argued much of Robinhood’s growth has already been priced in after the stock’s 420% year-over-year surge.

JPMorgan’s Kenneth Worthington echoed that sentiment. He bumped his 2026 price target from $98 to $104 while maintaining a neutral rating. Worthington highlighted a “near-perfect” operating environment — marked by high volatility, elevated rates, and strong retail activity — as tailwinds for both Robinhood’s trading and rate-sensitive segments.

Robinhood’s acquisition of crypto exchange Bitstamp added significantly to its crypto business, contributing $160 million in revenue, or 16% of the quarter’s total. Bitstamp also accounted for $6.7 billion in notional trading volume.

Keefe, Bruyette & Woods (KBW) also held a neutral rating while lifting their target from $89 to $106. The firm pointed to strength in securities lending and a rebound in crypto volumes, and raised EPS estimates through the next three years, citing higher user activity and stronger margins.

Cantor Fitzgerald Remains Optimistic

Cantor Fitzgerald analyst Brett Knoblauch stood apart with a bullish view. He reiterated a buy rating and increased his price target to $118 from $100, implying further upside. Valuing Robinhood at 40x 2026 EV/EBITDA, Knoblauch sees continued growth in crypto, options, and margin-related revenues. He also highlighted progress in Robinhood Strategies, crypto staking services, and the upcoming Robinhood Banking launch as key drivers of future momentum.

What It Means for Coinbase

Robinhood’s crypto gains — fueled by Bitstamp and a return of retail interest — could signal positive news for Coinbase, which reports earnings later Thursday. If Coinbase saw similar engagement, especially from retail traders, it may point to a broader crypto recovery.

However, unlike Robinhood, Coinbase lacks a diversified revenue base. That means it’s more dependent on crypto volumes alone to fuel growth. Analysts will be closely watching to see whether Coinbase can replicate Robinhood’s strong results.

FactSet forecasts Coinbase will report $1.59 billion in Q2 revenue and $1.25 in EPS, both up year-over-year. COIN shares were up 1.6% Thursday morning, trading at $383.56.