Robinhood Markets, Inc. (NASDAQ:HOOD – Get Free Report) shares dropped 3.8% on Thursday . The company traded as low as $92.80 and last traded at $93.47. 22,830,526 shares traded hands during trading, a decline of 25% from the average daily volume of 30,505,648 shares. The stock had previously closed at $97.19.
Key Headlines Impacting Robinhood Markets
Here are the key news stories impacting Robinhood Markets this week:
- Positive Sentiment: Truist said Robinhood could be heading for a record quarter, with June volumes suggesting transaction revenue is tracking ahead of estimates. Truist Stays Bullish on Robinhood as June Volumes Point to Record Quarter
- Positive Sentiment: Robinhood is using incentives like World Cup tickets to attract more Gold subscribers, supporting engagement and potential recurring revenue growth. Robinhood dangles World Cup tickets to boost Gold subscriber base
- Neutral Sentiment: Some recent commentary highlights Robinhood as a cash-heavy stock with potential, while other pieces argue its growth drivers remain volatile, suggesting mixed longer-term sentiment. 1 Cash-Heavy Stock with Exciting Potential and 2 Facing Headwinds
- Negative Sentiment: Robinhood shares weakened after reports that Meta is building a competing prediction markets app, raising concerns about future competition in a key new growth area. Why Robinhood (HOOD) Stock Is Down Today
- Negative Sentiment: Bearish articles also questioned whether Robinhood’s recent run-up is sustainable, citing volatility in its biggest growth drivers and the risk of another sell-off. Robinhood Stock Has Soared 65% From Its 52-Week Low. Here’s Why I’m Predicting Another Sell-Off.
Wall Street Analysts Forecast Growth
A number of research firms have weighed in on HOOD. Zacks Research upgraded shares of Robinhood Markets from a “strong sell” rating to a “hold” rating in a research report on Monday, June 8th. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $110.00 target price on shares of Robinhood Markets in a report on Tuesday, June 9th. Weiss Ratings reissued a “hold (c)” rating on shares of Robinhood Markets in a research note on Friday, March 27th. KeyCorp reiterated an “overweight” rating and set a $100.00 target price on shares of Robinhood Markets in a research report on Monday, June 1st. Finally, Sanford C. Bernstein reiterated an “outperform” rating and issued a $130.00 target price on shares of Robinhood Markets in a report on Tuesday, April 14th. Eighteen analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $112.36.
Robinhood Markets Price Performance
The stock has a fifty day moving average of $85.34 and a 200 day moving average of $90.62. The stock has a market cap of $84.17 billion, a price-to-earnings ratio of 45.15, a P/E/G ratio of 1.90 and a beta of 2.35.
Robinhood Markets (NASDAQ:HOOD – Get Free Report) last issued its quarterly earnings data on Tuesday, April 28th. The company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). Robinhood Markets had a return on equity of 21.39% and a net margin of 41.12%.The firm had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.14 billion. During the same period in the previous year, the business earned $0.37 EPS. Robinhood Markets’s revenue for the quarter was up 15.1% compared to the same quarter last year. As a group, equities analysts expect that Robinhood Markets, Inc. will post 1.8 earnings per share for the current fiscal year.
Insider Activity at Robinhood Markets
In related news, Director Meyer Malka bought 250,000 shares of the company’s stock in a transaction on Friday, June 5th. The stock was bought at an average cost of $80.74 per share, for a total transaction of $20,185,000.00. Following the acquisition, the director directly owned 3,924,427 shares in the company, valued at $316,858,235.98. This represents a 6.80% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Steven M. Quirk sold 10,837 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $85.91, for a total value of $931,006.67. Following the completion of the transaction, the insider owned 81,989 shares of the company’s stock, valued at $7,043,674.99. The trade was a 11.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders acquired 680,000 shares of company stock valued at $55,306,560 and sold 633,484 shares valued at $47,542,923. Insiders own 14.47% of the company’s stock.
Institutional Investors Weigh In On Robinhood Markets
A number of hedge funds have recently bought and sold shares of HOOD. CYBER HORNET ETFs LLC grew its holdings in shares of Robinhood Markets by 527.8% during the fourth quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company’s stock worth $26,000 after purchasing an additional 190 shares during the last quarter. MV Capital Management Inc. purchased a new position in shares of Robinhood Markets in the 4th quarter valued at about $27,000. Swiss RE Ltd. acquired a new stake in shares of Robinhood Markets in the 4th quarter worth approximately $27,000. Elyxium Wealth LLC purchased a new position in shares of Robinhood Markets in the fourth quarter valued at $27,000. Finally, Sound Income Strategies LLC raised its stake in shares of Robinhood Markets by 152.6% during the 4th quarter. Sound Income Strategies LLC now owns 240 shares of the company’s stock worth $26,000 after buying an additional 145 shares during the last quarter. Institutional investors and hedge funds own 93.27% of the company’s stock.
Robinhood Markets Company Profile
Robinhood Markets, Inc (NASDAQ: HOOD) is a U.S.-based financial services company best known for its mobile-first brokerage platform that aims to “democratize finance for all.” Founded in 2013 by Vladimir Tenev and Baiju Bhatt and headquartered in Menlo Park, California, the company built early traction by offering commission-free trading and a simplified user experience that attracted a large base of retail investors.
Robinhood’s core products and services include a mobile app and web platform for trading U.S.
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