Robinhood Markets (NASDAQ:HOOD) stock is taking a beating on Thursday after the company released its earnings report for the second quarter of 2021.
Let’s dive into those earnings below to see what’s hitting HOOD stock today!
- The nad news for HOOD stock starts with its diluted losses per share coming in at $2.16 for the quarter.
- That’s a massive miss next to Wall Street’s estimate of -15 cents for the period.
- It’s also a negative change from the company’s diluted earnings per share of 9 cents from the same time last year.
- That also comes with a net loss of $502 million, which is much lower than the net income of $58 million in Q2 2020.
- Robinhood also saw its average revenue per user come in at $112 in the second quarter of 2021.
- That’s lower than the $115 ARPU reported during the same period of the year prior.
- One highlight from the earnings report is revenue of $$565 million.
- That’s better than analysts’ estimates of $521.84 million in the second quarter of the previous year.
- It’s also a 131% increase year-over-year.
- Even so, that one bright note wasn’t enough to keep HOOD stock from falling today.
Vlad Tenev, co-founder and CEO of Robinhood, said this about the earnings results.
“We’re encouraged by the number of people who are accessing the financial system for the first time through Robinhood. We’re happy to expand access through products like commission-free crypto trading, which saw strong growth this quarter among women investors in particular, and IPO Access, which gives customers an opportunity to invest in companies at their IPO price.”
HOOD stock was down 8.7% as of Thursday morning.
There’s more stock market news you’ll want to know about below!
InvestorPlace offers daily coverage of the stock market and today is no different. A few stories worth checking out include the biggest pre-market stock movers, what happened with the market yesterday, as well as an update on Upstart (NASDAQ:UPST) stock. You can find all of these at the following links!
More Recent Stock Market News
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Article printed from InvestorPlace Media, https://investorplace.com/2021/08/hood-stock-10-reasons-why-robinhood-shares-are-taking-a-dive-today/.
©2021 InvestorPlace Media, LLC
View more information: https://investorplace.com/2021/08/hood-stock-10-reasons-why-robinhood-shares-are-taking-a-dive-today/