Catenaa, Tuesday, February 17, 2026- Analysts at Bernstein late last week dismissed recent Robinhood stock volatility as “crypto jitters.”
They maintained a bullish $160 price target despite a sharp 38% drop in the company’s fourth-quarter cryptocurrency revenue.
While the year-over-year decline in digital asset trading initially rattled investors, the firm signaled that the underlying growth trajectory for the Menlo Park-based brokerage remains intact.
HOOD fell roughly 9% in after-hours trading following the report, closing Tuesday at $85.60, down from an intraday low of $78.80 and marking a 24% decline year-to-date.
Total net revenue rose 27% to a record $1.28 billion, driven by equities and options trading, while crypto transaction revenue fell to $221 million amid a 52% decline in core trading volumes.
Bernstein analysts said top-line weakness in crypto was expected and highlighted strong performance in other metrics. Funded accounts, Gold subscribers, and retirement assets reached record highs, with retirement assets growing to $26.5 billion.
Robinhood Banking, launched in late 2025, has onboarded more than 25,000 funded customers contributing over $400 million in balances.
The firm emphasized Robinhood’s prediction markets, which reached record activity levels, accounting for 14% of transaction revenue and 8% of total revenue.
The platform traded 8.5 billion contracts in Q4, with early 2026 volumes at $4 billion against a $27 billion forecast. Analysts also pointed to the mid-2026 launch of Rothera, a joint venture with Susquehanna, as a driver of the platform’s growth in information and capital markets.
Robinhood continues to develop its Ethereum Layer 2 blockchain, Robinhood Chain, on Arbitrum, enabling tokenized asset experimentation ahead of a mainnet launch later this year.
Bernstein maintained an outperform rating and said the stock offers 87% upside from current levels, citing $60-$75 as an accumulation range under bear-case assumptions.
