Robinhood (NASDAQ: HOOD) Dips into Earnings, Stock Remains an Outperformer

Robinhood Markets' stock (NASDAQ: HOOD) has been one of the standout performers in 2025, with a gain of 21% YTD standing in contrast to the S&P 500's 6% decline, or the7.8% drop in the Nasdaq 100.

With Q1 earnings slated for release after market close today however Robinhood's stock is down 3.32% on the day, with U.S GDP figures weighing on markets. So let's take a closer look at what the street is expecting from the earnings print.

Wall Street consensus anticipates significant year-over-year growth, with earnings per share (EPS) projected at $0.37 (a 77.8% increase) on revenue of $917.16 million (a 48.4% jump).

Much of this optimism is pinned on the company's crypto segment, which saw revenues explode from $61 million in Q3 2024 to $358 million in Q4 2024. Robinhood's record-breaking Q4 2024 performance, where revenue soared 115% YoY to $1.01 billion and net income skyrocketed over tenfold to $916 million ($1.01 EPS), set a high bar and propelled the stock to a three-year high of $66.91 back in March 2025.

However, signs of caution temper the bullish outlook. Analysts have recently revised Q1 EPS estimates downwards by 14.6%, signalling potential concerns about sustaining the breakneck growth pace amidst broader economic headwinds, including warnings from Fed Chair Jerome Powell about softer Q1 growth.

From a technical standpoint, HOOD presents a bullish picture. The stock is comfortably trading above its key exponential moving averages (EMAs), with the 50-day EMA at $43.39 and the 200-day EMA at $35.46 providing solid support levels beneath the current price. Short-term EMAs also point upwards, reinforcing the positive momentum

Strategically, Robinhood continues to innovate and expand aggressively. The recent launch of its Prediction Markets Hub, allowing users to trade on event outcomes, initially excited analysts who saw a potential $260 million revenue stream. However, it quickly attracted regulatory scrutiny from states like Massachusetts, probing whether it constitutes unregulated gambling, a perfect example of the innovation-versus-compliance tension facing the company.

Further growth is expected from the integration of European crypto exchange Bitstamp, acquired to fuel international expansion, alongside plans to enter Asian markets.

Robinhood is also pushing deeper into financial services with the launch of Robinhood Advisory (a robo-advisor) and expanded high-yield cash account offerings, positioning itself as a comprehensive financial platform but intensifying competition with established banks and fintech rivals.

The growth in its premium “Gold” subscription tier, which surged 86% YoY to 2.6 million users in Q4 2024, indicates success in deepening customer relationships.

While the recent stock performance reflects considerable optimism, HOOD remains a high-volatility, high-risk, high-reward proposition. The recent run only serves to increase the pressure on a solid quarter, yet with EPS beats in each of the past four prints, and three on revenue numbers, the bulls will be looking for more of the same.