Robinhood Forecasts $156 Million in Q2 2026 Prediction Market Revenue
Robinhood's forecasted revenue for the prediction market in Q2 2026 is $156 million, surpassing revenue from stock trading and crypto trading. The trading-based revenue for the second quarter is $776 million, with options revenue at $342 million, stock trading at $129 million, and crypto at $100 million. While the prediction market outperformed stock and crypto trading, it did not reach the levels of options revenue. Robinhood announced that total revenue for the second quarter increased by 32% year-over-year to $1.31 billion, with a net profit of $573 million and a diluted earnings per share of $0.62. The volume of event contract trades reached 13.6 billion, more than ten times the previous year. In June, Robinhood launched Loterra, and the cumulative contract trading volume exceeded 3.5 billion. In the 10-Q filing submitted to the SEC, it was explained that the increase in event contract revenue indicates acceleration in the prediction market business. Robinhood stated that it will expand its prediction market product line and aims to become the fastest-growing product category by December 2025. Although crypto revenue decreased by 38% year-over-year, event contract revenue increased more than tenfold. Morgan Stanley upgraded Robinhood's investment rating to 'Overweight' and set a target price of $150. Regulatory burdens still exist, with Illinois imposing taxes on prediction market operators.
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