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eToro to buy TradeZero in up to $230 million deal
The acquisition, targeted to close in the first half of 2027, would be accretive to eToro’s adjusted earnings per share in its first full year.
eToro Group Ltd. said it will acquire US broker-dealer TradeZero for up to $230 million in cash and stock, a move announced alongside its second-quarter results. Yahoo Finance reports that the deal is expected to close in the first half of 2027.
For the quarter ended in line with the company’s reporting, eToro posted net contribution of $229 million, up 9% year over year, and adjusted diluted earnings per share of $0.68, up from $0.56 a year earlier. The company also reported $1.2 billion in cash and short-term investments after generating $39 million from operations, and it repurchased roughly 2.3 million shares for about $87 million during the quarter.
eToro said investor activity helped drive growth in its broader capital markets business, with net trading contribution rising 25% year over year to $142 million and the number of trades increasing 64% year over year. Funded accounts grew 18% year over year to 4.28 million, assets under administration topped $19 billion for the quarter, and eToro reported that the broker generated about $80 million in trailing twelve-month revenue, with gross margins above 80% in the second quarter of 2026.
The company also highlighted momentum beyond trading, citing 44% year-over-year growth in etoro Money contribution to $26 million as money transfers rose 92% year over year. It added that card issuance in Europe climbed more than 30% quarter over quarter, and assets in its savings product grew fifteen-fold year over year, while crypto net trading contribution fell to $11 million.