eToro Stock Plummets on Earnings Miss and $231M TradeZero Acquisition

eToro's stock fell sharply on Tuesday following its Q2 2026 earnings release. The online brokerage reported net profit of $53 million, missing analyst estimates by $1.1 million.

The company announced a major acquisition: it will buy TradeZero, a U.S.-focused broker, for up to $231 million in cash and stock. This is eToro's third deal this year, raising questions about the pace of its capital deployment.

eToro's funded accounts grew 18% to 4.28 million, but crypto trading volume collapsed 73% year over year in July. The iShares Bitcoin Trust ETF has dropped 46% over the past 12 months, reflecting the broader crypto downturn hitting eToro's business.