BUZZ-Robinhood Markets slumps on quarterly profit miss
Robinhood HOOD | 0.00 |
** Shares of Robinhood Markets HOOD.O down 9% at $74.67 in pre-market trading after its first-quarter profit missed estimates on weak transaction revenue
** After market hours on Tuesday, company reported first-quarter profit of 38 cents/shr vs Wall Street estimates of 44 cents, as transaction-based revenue of $623 million missed the $728.2 million consensus, per LSEG data
** Weaker-than-expected take rates in options and cryptocurrency trading overshadowed growth in customer assets and deposits, company says
** "Commentary suggests capture rates in crypto/options continue to decline sequentially, and we are not expecting much improvement in NII near term," KBW analysts say
** HOOD stock has sunk about 27.4% year-to-date, compared with a 6.1% rise in the Nasdaq .IXIC
