Robinhood Stock Rises Amid Positive November Metrics, Including 400,000 Funded Accounts

image

Robinhood Stock Rises Amid Positive November Metrics, Including 400,000 Funded Accounts

Shares of Robinhood Markets, Inc. experienced a modest increase at market open following the announcement of pre-activity data for November 2024 and the availability of the Investor Day presentation on the company's investor relations site.

The trading platform reported a significant increase of over 400,000 in Funded Clients in November. Robinhood's Assets Under Custody (AUC) also saw a notable increase, surpassing $190 billion. This figure represents an increase of over 15% compared to October 2024 and over 100% year-over-year. The growth in AUC is partly attributed to customer Net Deposits exceeding $5 billion in November. Over the past year, Net Deposits accumulated to over $47 billion.

Trading activity on Robinhood's platform showed remarkable changes. Stock Nominal Trading Volumes for November were over $145 billion, indicating an increase of more than 15% from the previous month and over 170% from the same period last year. Options Contracts traded showed a decline of less than 5% compared to October 2024, but still recorded an increase of over 50% year-over-year. Meanwhile, Cryptocurrency Nominal Trading Volumes surged, exceeding $30 billion, representing a striking increase of over 400% from October and 600% year-over-year.

The company also reported increases in other financial metrics. Margin balances in November exceeded $6.5 billion, reflecting an increase of over 5% from October and 80% year-over-year. Additionally, total Cash Sweep balances were over $26 billion, marking an increase of over 2% from the previous month and over 70% year-over-year.

Robinhood will release complete November 2024 Operating Metrics next week, providing a more detailed view of the company's performance. Investors interested in Robinhood's financial health and performance indicators, such as AUC, Funded Clients, Net Deposits, Cash Sweep, Margin Portfolio, Nominal Trading Volume, and Options Contracts traded, can refer to the definitions provided by the company. These metrics are essential for understanding changes in Robinhood's operations and financial position.