EL7.AI
StocksMediumUpdated×9•Originally published 28 April 2026•Updated 29 April 2026•
1 min read

Robinhood Profit Rises on Prediction Markets and Gold Subscriptions Despite Earnings Miss

Key Facts

1Robinhood's profit increased driven by prediction markets and Gold subscriptions, though overall results missed Wall Street expectations.

Robinhood reported its Q1 2026 financial results, showing a 15% increase in total revenue to $1.07 billion, driven by its Gold subscription tier. Despite this growth, shares plummeted over 11% in after-hours trading after missing key financial estimates, with rising costs cited as a primary factor. Following the release, Barclays lowered its price target for HOOD shares to $82, and JP Morgan followed suit by lowering its forecasts and price target. Analysts at JP Morgan described Robinhood's revenue model as 'less durable,' adding to concerns over the 47% collapse in crypto-related activity. While the company is pivoting toward event-based betting to offset traditional trading headwinds, the combination of higher expenses and analyst downgrades has triggered a sharp market reaction. Investors remain focused on whether Robinhood can manage its cost structure amid these structural challenges.