Robinhood shares rise on positive November metrics, including 400K funded accounts

Shares of Robinhood Markets (NASDAQ:HOOD ), Inc. experienced a modest increase at the market open following the release of preliminary November 2024 operating data and an Investor Day presentation, which is now accessible on the company's investor relations site.

The trading platform reported a significant uptick in Funded Customers, with a growth of over 400 thousand in November. Robinhood's Assets Under Custody (AUC) also saw a substantial rise, reaching more than $190 billion. This figure represents an increase of over 15% from October 2024 and a year-over-year surge of over 100%. The growth in AUC was partly attributed to customer Net Deposits exceeding $5 billion in November. Over the past year, Net Deposits have accumulated to more than $47 billion.

Trading activity on Robinhood's platform showed notable changes. Equity Notional Trading Volumes for November were over $145 billion, marking an increase of over 15% from the previous month and a significant year-over-year rise of over 170%. Options Contracts Traded slightly decreased, down less than 5% from October 2024, but still up over 50% compared to the same time the previous year. Meanwhile, Crypto Notional Trading Volumes soared, reaching over $30 billion, which is an increase of over 400% from October and a staggering 600% growth year-over-year.

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

Robinhood is set to release its complete November 2024 Operating Data next week, offering a more detailed view of the company's performance.

Investors interested in the details of Robinhood's financial health and performance indicators such as AUC, Funded Customers, Net Deposits, Cash Sweep, Margin Book, Notional Trading Volume, and Options Contracts Traded can refer to the definitions provided by the company. These metrics are essential for understanding the changes in Robinhood's operations and financial position.

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Source: Investing.com