Robinhood beats forecasts as meme stocks and crypto revive

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STORY: Meme stocks are back, and that’s good news for Robinhood.

The trading app said Wednesday it beat forecasts over the second quarter.

Transaction-based revenue surged 69% to $327 million, with profits also beating forecasts.

That saw its shares jump 2.6% in U.S. after-hours trade.

Robinhood saw a surge in activity after influencer Keith Gill - AKA Roaring Kitty - returned to social media.

That reignited interested in stocks like video game retailer GameStop, which had been at the heart of the 2021 meme stock craze.

Crypto offered a big boost too.

Bitcoin soared over the first half of the year after U.S. regulators approved exchange traded funds handling the virtual currency.

Since being at the heart of the original meme stock frenzy, Robinhood has struggled with uneven trading activity.

It’s responding by building a suite of different products for clients.

On Wednesday, it also teased the launch of a desktop version of its popular trading application.

Executives shrugged off worries about a possible U.S. recession.

Chief Financial Officer Jason Warnick said the firm was optimistic it would do well in any market scenario.