RobinhoodOn Friday, the company was able to recover its losses as investors viewed disappointing guidance by the company as a positive sign and rallied in support of new product developments.

After dropping to as low as $9.94 by 14.4% at the lowest point of the day, shares of the stock trading app rose more than 2%.

Robinhood’s weaknesses earnings report released ThursdayAfter the bell was out came its quarterly revenue guidance for its first quarter and its monthly loss in active users.

Newly public brokerage expects first quarter revenue to be less than $340million, which is 35% lower than 2021. FactSet reported that Wall Street was expecting $448.2 million revenue in the first quarter. FactSet also reported that the number of monthly active users dropped to 17.3million last quarter, from 18.9 million for the third quarter. According to FactSet, this number is also lower than the 19.8 million estimates.

After the results were announced, Wall Street’s major Wall Street businesses maintained their Robinhood rating. However, JPMorgan, Piper Sandler, and Goldman Sachs have all lowered their prices for Robinhood over the past 12 months. Barclays, Deutsche Bank and JPMorgan also reduced their stock targets.

Many analysts disappointed by the guidance for the first quarter, however they are optimistic about fully-paid securities lending and the cryptocurrency wallet.

Devin Ryan of JMP Securities said, “Robinhood is on a difficult road lately but we still have plenty to be enthusiastic about.” Although we believe Robinhood’s stock is a good investment, investors should be convinced that Robinhood will diversify the company beyond trading. Our confidence in that belief is much higher as we move out of results.

Robinhood’s shares trade at around $11 per Share on Friday. That is far below its IPO Price of $38 in July.

— with reporting from CNBC’s Michael Bloom.