Robinhood shares rose 13% in early trading on Thursday after the company reported fourth-quarter earnings that exceeded Wall Street expectations, primarily due to a significant increase in crypto transaction revenue, which reached $358 million. This marked the highest contribution from digital assets for the platform so far. Following the release of the earnings report, major financial institutions such as JPMorgan and Citi raised their price targets for Robinhood’s stock. JPMorgan increased its target from $39 to $45, while Citi raised its target from $45 to $60, both maintaining a neutral rating. Additionally, Bernstein more than doubled its price objective to $105 and kept an outperform rating. The overall revenue for Robinhood rose 115% year-over-year to $1.01 billion, surpassing the anticipated $945.8 million. The strong performance was attributed to a staggering 700% increase in cryptocurrency-related revenue, which typically contributes 10%-20% to the total revenue. Analysts noted Robinhood's ambitions to enhance its crypto offerings, including expanding its token list and improving its wallet functionality.

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