eToro (ETOR) Stock Falls After Earnings Miss and $231M TradeZero Acquisition

TLDR

• eToro Q2 2026 profit rose 77% year over year to $53 million, missing analyst estimates of $55.1 million
• Stock dropped over 11% on Tuesday following the earnings release
• eToro announced it will acquire U.S.-focused broker TradeZero for up to $231 million in cash and stock
• Funded accounts grew 18% to 4.28 million, but crypto trading volume collapsed 73% year over year in July
• The TradeZero deal is eToro’s third acquisition this year and is expected to close in H1 2027

eToro (ETOR) stock fell sharply on Tuesday after the online brokerage reported Q2 2026 earnings that missed Wall Street expectations, while also announcing a major acquisition that rattled investors.

eToro $ETOR to acquire TradeZero for up to $231M in cash and stock, expanding its U.S. brokerage business. TradeZero generated ~$80M in revenue at 81% gross margins over the past 12 months. eToro expects the deal to be accretive to adjusted EPS in the first year after closing. pic.twitter.com/Uqg4MDn26L

- Wall St Engine (@wallstengine) August 11, 2026

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