Robinhood Markets’ (HOOD) Overweight Rating Reiterated at Morgan Stanley

Morgan Stanley reiterated their overweight rating on shares of Robinhood Markets (NASDAQ:HOOD) in a research note issued to investors on Wednesday,Benzinga reports. They currently have a $150.00 price objective on the stock.

A number of other research analysts have also recently commented on the company. KeyCorp increased their target price on Robinhood Markets from $100.00 to $125.00 and gave the company an “overweight” rating in a research note on Wednesday, July 22nd. Citizens Jmp lifted their price target on Robinhood Markets from $155.00 to $165.00 and gave the stock a “market outperform” rating in a research note on Friday, September 11th. Weiss Ratings reiterated a “hold (c)” rating on shares of Robinhood Markets in a report on Monday, September 21st. Wall Street Zen upgraded Robinhood Markets from a “strong sell” rating to a “sell” rating in a research report on Sunday, July 12th. Finally, The Goldman Sachs Group raised their price objective on Robinhood Markets from $124.00 to $142.00 and gave the company a “buy” rating in a report on Tuesday, September 8th. Two analysts have rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, Robinhood Markets has a consensus rating of “Moderate Buy” and a consensus target price of $132.50.

Robinhood Markets Price Performance

HOOD stock opened at $112.74 on Wednesday. The firm has a 50 day simple moving average of $105.94 and a two-hundred day simple moving average of $93.72. The stock has a market cap of $101.36 billion, a PE ratio of 49.67, a P/E/G ratio of 2.32 and a beta of 2.35. Robinhood Markets has a one year low of $63.51 and a one year high of $153.86. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.22 and a quick ratio of 1.22.

Robinhood Markets (NASDAQ:HOOD) last posted its quarterly earnings data on Wednesday, July 29th. The company reported $0.62 earnings per share for the quarter, beating the consensus estimate of $0.44 by $0.18. Robinhood Markets had a net margin of 42.01% and a return on equity of 22.43%. The firm had revenue of $1.31 billion for the quarter, compared to analysts’ expectations of $1.29 billion. During the same quarter last year, the company posted $0.42 EPS. The business’s quarterly revenue was up 32.5% on a year-over-year basis. On average, analysts predict that Robinhood Markets will post 2.1 EPS for the current fiscal year.

Insider Activity

In related news, Director Oluwadara Treseder sold 1,875 shares of Robinhood Markets stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $125.00, for a total value of $234,375.00. Following the transaction, the director directly owned 70,567 shares of the company’s stock, valued at $8,820,875. The trade was a 2.59% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Daniel Martin Gallagher, Jr. sold 10,000 shares of the company’s stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $122.43, for a total transaction of $1,224,300.00. Following the sale, the insider owned 509,943 shares of the company’s stock, valued at $62,432,321.49. This represents a 1.92% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,089,658 shares of company stock valued at $128,909,068. Corporate insiders own 13.48% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

A number of large investors have recently added to or reduced their stakes in the company. Parkside Financial Bank & Trust grew its holdings in shares of Robinhood Markets by 11.9% during the second quarter. Parkside Financial Bank & Trust now owns 1,089 shares of the company’s stock valued at $109,000 after buying an additional 116 shares during the last quarter. Sivia Capital Partners LLC raised its holdings in Robinhood Markets by 2.8% in the 4th quarter. Sivia Capital Partners LLC now owns 4,310 shares of the company’s stock worth $487,000 after acquiring an additional 117 shares during the last quarter. MCF Advisors LLC raised its holdings in Robinhood Markets by 52.6% in the 4th quarter. MCF Advisors LLC now owns 377 shares of the company’s stock worth $43,000 after acquiring an additional 130 shares during the last quarter. RFG Advisory LLC lifted its position in Robinhood Markets by 4.0% in the 2nd quarter. RFG Advisory LLC now owns 3,505 shares of the company’s stock valued at $351,000 after acquiring an additional 135 shares in the last quarter. Finally, Dearborn Partners LLC lifted its position in Robinhood Markets by 7.4% in the 4th quarter. Dearborn Partners LLC now owns 2,132 shares of the company’s stock valued at $241,000 after acquiring an additional 146 shares in the last quarter. Institutional investors own 93.27% of the company’s stock.

Robinhood Markets News Summary

Here are the key news stories impacting Robinhood Markets this week:

• Positive Sentiment: Expanded trading access could boost engagement and revenue. Robinhood plans to offer 24/7 trading for select U.S. stocks and ETFs, including weekends, in 2027. The company is also preparing Solana perpetual futures, potentially increasing trading activity and crypto-related revenue. Robinhood Markets Plans Perpetual Futures and Weekend Stock Trading
• Positive Sentiment: AI product launches are strengthening Robinhood’s growth narrative. New in-app AI agents can analyze markets and execute trades for customers, while a partnership with Narravance adds viral-stock and investor-sentiment research tools. Management says these offerings could give retail customers capabilities historically reserved for larger institutions. Robinhood Bets on AI Agents That Can Trade
• Positive Sentiment: Analyst support remains a tailwind. Morgan Stanley reaffirmed an overweight rating, KeyBanc raised its price target to $140 while maintaining its positive view, and Wells Fargo initiated coverage at equal weight with a $125 target—above the referenced share price. Wells Fargo Initiates Coverage of Robinhood
• Neutral Sentiment: Robinhood reportedly holds approximately $25 billion in cryptocurrency across 12 blockchains, highlighting substantial exposure to crypto trading demand but also to volatile digital-asset markets. Its third-quarter results are scheduled for October 27.
• Negative Sentiment: Valuation and risk concerns remain. Robinhood trades at a high earnings multiple after strong gains, prompting concerns about slowing growth. A recent analyst downgrade and Deutsche Bank’s cautious forecast provide counterweights to the bullish recommendations. Critics also warn that AI agents trading autonomously could create regulatory, operational, and liability risks, despite Robinhood’s use of a separate entity for its AI technology. What’s Next for Robinhood Stock as Valuation Concerns Remain?

About Robinhood Markets

Robinhood Markets, Inc (NASDAQ: HOOD) operates a financial services platform designed to provide investing and trading products through mobile applications and a website. Its offerings include commission-free trading in stocks and exchange-traded funds, options trading, cryptocurrency services, margin investing, and retirement accounts. The company also provides cash management features and other tools intended to help customers manage and invest their money.

Founded in 2013 by Vlad Tenev and Baiju Bhatt, Robinhood gained prominence by expanding access to investing through a low-cost, easy-to-use digital platform.