eToro Stock Soars 20% on Strong Q4 Crypto Earnings

The shares of the popular trading platform eToro experienced a remarkable surge exceeding 20% following the announcement of its fourth-quarter earnings that significantly outperformed market expectations. This impressive performance was primarily fueled by robust activity in cryptoassets, which played a dominant role in boosting the company’s reported revenue and income categories. Notably, eToro presents these figures predominantly on a gross basis, accompanied by corresponding cost offsets.

In its official release on Tuesday, the company disclosed that its net income for the fourth quarter rose by 16% compared to the previous year, reaching $68.7 million. Earnings per share stood at $0.71, surpassing the analyst consensus forecast of $0.60. This positive outcome highlighted the platform’s resilience and growth potential in a competitive landscape.

For the quarter, total revenue and income amounted to $3.87 billion, marking a 34% decline year-over-year. Within this, revenue from cryptoassets contributed a substantial $3.59 billion, as detailed in the company’s IFRS financial statement. Simultaneously, eToro recorded $3.64 billion in costs associated with cryptoasset revenue. A key non-GAAP performance indicator emphasized by the firm, known as Net Contribution, came in at $227 million, underscoring operational efficiency despite the gross figures.

This earnings success contrasted sharply with the results from eToro’s primary competitors in the crypto trading space, such as Coinbase and Robinhood. Both of these platforms fell short of expectations in their respective fourth-quarter reports, with revenues impacted negatively by a sharp downturn in the cryptocurrency markets toward the end of the prior year.

eToro Stock Climbs Sharply After Q4 Success, CEO Eyes Crypto Opportunities

eToro’s stock, traded under the ticker ETOR, closed the trading session on Tuesday with a 20.4% gain, reaching $33.07. This made it one of the top performers among crypto-related stocks that day. Although it dipped marginally in after-hours trading to $33, the overall momentum remained strongly positive, reflecting investor confidence in the company’s trajectory.

eToro’s Chief Executive Officer, Yoni Assia, described the current landscape as a transformative period for the financial services industry. He pointed to the profound influences of artificial intelligence and the expanding adoption of blockchain technology, which are fundamentally altering investment behaviors and market interactions. These technological advancements are creating new paradigms for how assets are traded and managed.

Assia emphasized that eToro is ideally situated to capitalize on these emerging trends. The platform is strategically aligning itself with a future financial ecosystem that is progressively shifting toward on-chain operations. Leveraging its established dominance in cryptocurrency trading and asset tokenization, eToro is poised not only to participate but also to actively influence this evolving transition.

During the post-earnings investor call, Assia shared observations about shifting user behaviors among the platform’s crypto-centric clientele. He noted instances where these users, previously focused solely on digital assets, began exploring trades in traditional commodities for the first time. This diversification indicates a broadening of investment horizons facilitated by the platform’s versatile offerings.

Specifically, Assia highlighted a noticeable trend where reduced volatility in the crypto sector is prompting traders to pivot toward assets like gold, silver, and other commodities that exhibit higher price fluctuations. This shift represents a convergence between digital and conventional markets, potentially signaling maturing investor strategies in response to market dynamics.

On the operational front, eToro provided updates on recent trading activity. In January, crypto trading volume decreased by 50% compared to the same month a year earlier, totaling 4 million crypto trades. Additionally, the average investment size per crypto trade fell by 34%, settling at $182. These figures reflect adjustments in market conditions and user engagement patterns post the volatile period.

In contrast, the company’s overall trading activity showed strength, with the total number of trades in January surging 55% year-over-year to 74 million. The average investment per trade across all assets also improved by 8%, reaching $252. These metrics demonstrate eToro’s broad appeal and capacity to drive volume growth beyond just cryptocurrencies.

Looking at the full-year performance for 2025, eToro achieved total revenue and income of $13.84 billion, coupled with a net income of $215.7 million. Revenue specifically from cryptoassets accounted for $12.98 billion of this total. The Net Contribution metric, which the company prioritizes as a core measure of profitability, increased by 10% to $868 million, affirming sustained progress throughout the year.

Assia’s forward-looking vision underscores eToro’s commitment to innovation at the intersection of traditional finance and blockchain. By fostering an environment that supports seamless transitions between asset classes and embracing on-chain financial systems, the platform is setting the stage for long-term leadership in the evolving digital economy. Investors appear to be rewarding this strategic positioning with enthusiastic market responses, as evidenced by the substantial stock appreciation following the earnings reveal.