What's is Robinhood's revenue?
Was just wondering about their revenue since they recently got valuated at 7.6 billion dollars. Anyone have any ballpark numbers on what their revenue is? TC:- 300k
I agree with @FBnew that they’re likely not profitable. To OP’s question about *Revenue*, however, this information isn’t publicly available. If I had to guess based on the reported total dollar amount of trades vs. Etrades total dollar amount of trades and Etrades reported revenue, I’d guess Robinhood is around $100M in annual revenue from that business. They did report that was about half their total revenue, so I’ll guess total revenue is $200M annually. Obviously, that’s not a great estimate, but I don’t think it’s more than +/- 2x off.
Not publicly available hence asking on blind lol we have Robinhood employees who can answer and provide a ball park number
They won’t
The word is they made 70m revenue in order flows, which is 40% of the whole thing. So the number could be $170 million. I don’t think they make that much though
Ha! Nice. My estimate was pretty close. :)
Kinda low for the valuation they are carrying. Wish our valuation was that high lol
No profit is fine. No revenue?
can it be used like a savings account?
yup
Any idea what is their source of revenue as from trades they don’t make any, I would think? It is a great platform btw for free stocks and option trades, just unclear how they make any money.
They make money from trades by selling order flow. That is, HFT firms pay Robinhood in order to take the other side of Robinhoods customers trades. Since the HFT firms believe that on average the customers will make bad decisions.
Order flow is not the whole story. They have some cash to invest, must be getting Nim on money markets
How do they make revenue? I’ve never used it
There are many ways to monetize your activity. Investing cash, margin lending etc
They make money off their 3% checking account 🤣🤣
You can't go wrong with any financial explanation by Investopedia! https://www.investopedia.com/articles/active-trading/020515/how-robinhood-makes-money.asp
They definitely make revenue: Robinhood gold monthly fees, Robinhood gold buying power (interest loan to user), SecLending
I don't think they make money yet
He’s asking revenue not profit. They certainly have revenue
Revenue != Profit