eToro Q2 Driven By ECC Trading, Tariff-Related Volatility In July: What Do Analysts Think?

eToro Group Ltd ETOR shares were down on Wednesday, despite the company reporting a big beat for the second quarter on Tuesday.

ETOR stock is at key technical levels. Get the details here.

The announcement came amid an exciting earnings season. Here are some key analyst takeaways.

Needham On eToro Group

Analyst John Todaro reiterated a Buy rating, while reducing the price target from $80 to $76.

eToro Group reported quarterly revenues of $209 million, beating consensus of $195 million, Todaro said in a note. Adjusted EBITDA came in at $72 million, ahead of consensus of $68 million, while earnings stood at 31 cents per share, missing expectations of 50 cents per share, he added.

The tariff-related volatility witnessed by the company in April normalized in May and June, but re-accelerated in July, "allowed for greater spread capture on both ECC (equities, commodities, and currencies) and crypto," the analyst stated. He expects only modest sequential growth in crypto volumes after the recent outperformance of Ethereum.

Check out other analyst stock ratings.

Keefe, Bruyette & Woods On eToro Group

Analyst Kyle Voigt reaffirmed a Market Perform rating and price target of $65.

eToro Group reported its first quarter after its IPO, Voigt said. Total net contribution of $210 million topped consensus of $194 million, he added.

This beat was driven mainly by stronger ECC trading results, the analyst stated. The company exited the quarter with 3.63 million funded accounts, up from 3.58 million at the end of the first quarter, he further commented.

ETOR Price Action: Shares of eToro Group had declined by 4.64% to $48.36 at the time of publication on Wednesday.

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