Key Takeaways
- Robinhood shares fell 10% today in a crypto-led selloff, pulling SoFi, Block and PayPal lower too.
- Robinhood fell harder than PayPal and Block because most of its revenue still comes from customers’ trading.
- Analysts still expect Robinhood’s normalized EPS to rise from $2.42 in 2026 to $4.37 in 2028.
- The stock remains a bet on how much its customers want to trade.
Robinhood Markets (HOOD) fell 10% today in a broad selloff that hit the market’s riskiest stocks hardest, and SoFi Technologies (SOFI) dropped 8% with it.
Bitcoin tumbled below $76,000. That gave back Wednesday’s jump above $80,000, which came after Democrats swept both chambers of Congress in the midterms.
The big payments names held up better: PayPal Holdings (PYPL) slipped 2%, and Block (XYZ) fell 4%. With the S&P 500 down 4%, Robinhood fell more than twice as hard as the market.
Robinhood still lives on trades
In the third quarter, transaction revenue was about 61% of its $1.42 billion total, and crypto revenue fell 55% to $120 million.
Analysts still see growth
Analysts expect Robinhood’s normalized EPS to barely grow this year, then jump to $3.39 in 2027 and $4.37 in 2028:
The stock has come a long way down from its October 2025 peak, though:
Going into today, it traded at 27x forward earnings, compared with a three-year average of 36x. At today’s price, it’s about 24x.
SoFi got caught in the same net
On Oct. 27, SoFi reported that third-quarter adjusted net revenue rose 44% to $1.4 billion, and it raised its 2026 guidance. Lending brought in more than half of that revenue, so SoFi’s results depend on credit far more than on bitcoin. I read today’s drop as guilt by association.
Less trading, smaller drops
PayPal and Block make most of their money on payments and lending. Block’s third-quarter gross profit rose 22% to $3.24 billion, and it raised its guidance on Nov. 3. PayPal also raised its full-year non-GAAP EPS guidance. At 10x forward earnings going into today, there wasn’t much froth to sell.
TIKR tracks 32 analysts on Robinhood. How many say “Buy”?
See the full breakdown of Buy, Hold, and Sell ratings on Robinhood, along with Wall Street’s revenue and earnings estimates, all in one place. More than 500,000 investors use TIKR to research stocks like this one. See Robinhood’s Analyst Ratings
Expect more days like this
With crypto revenue already shrinking, today’s drop is fair. But at about 24x forward earnings, with analysts expecting EPS to grow about 80% from 2026 to 2028, I’d rather buy Robinhood on a day like this than after a rally.
Of course, if bitcoin keeps sliding, crypto trading will cool further, and the fourth-quarter report will show it. And the Anthropic IPO, which Robinhood plans to offer its customers, is set for before Thanksgiving.
So what is Robinhood stock actually worth?
TIKR lets you forecast the future price of any stock in less than a minute. Just enter a few assumptions into TIKR’s valuation model and see what Robinhood could be worth. Start from Wall Street consensus estimates, or adjust the inputs to reflect your own view of the business. It’s free to use.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any of the stocks mentioned. Thank you for reading, and happy investing!
