Robinhood Markets, Inc. (NASDAQ:HOOD) Stock Has Consensus Target Price of $129.66 According to Brokerages

Key Points

• Analysts are broadly bullish: Robinhood has a “Moderate Buy” consensus from 34 brokerages, with 26 buy and two strong-buy ratings. The average 12-month price target is $129.66.
• Recent results exceeded expectations: Quarterly EPS was $0.62 versus the $0.44 consensus estimate, while revenue rose 32.5% year over year to $1.31 billion.
• Insider selling and valuation remain considerations: Insiders sold more than 1.08 million shares worth approximately $128 million over three months, while the stock trades at a relatively high P/E ratio of 43.56 amid concerns about valuation pressure.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the thirty-four brokerages that are covering the firm, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, five have given a hold rating, twenty-six have issued a buy rating and two have issued a strong buy rating on the company. The average 1-year price target among analysts that have covered the stock in the last year is $129.66.

Several equities research analysts have issued reports on the company. Bank of America lifted their price target on Robinhood Markets from $140.00 to $156.00 and gave the stock a "buy" rating in a research note on Monday, October 5th. Cantor Fitzgerald reiterated an "overweight" rating on shares of Robinhood Markets in a research report on Tuesday, September 15th. Keefe, Bruyette & Woods increased their price objective on Robinhood Markets from $100.00 to $115.00 and gave the company a "market perform" rating in a research report on Tuesday, September 29th. Zacks Research raised Robinhood Markets from a "hold" rating to a "strong-buy" rating in a report on Thursday, September 3rd. Finally, Scotiabank began coverage on Robinhood Markets in a research report on Wednesday, September 2nd. They issued a "sector outperform" rating and a $136.00 target price for the company.

Insider Buying and Selling at Robinhood Markets

In other Robinhood Markets news, Director Baiju Bhatt sold 50,317 shares of Robinhood Markets stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $96.80, for a total transaction of $4,870,685.60. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Vladimir Tenev sold 375,000 shares of the business's stock in a transaction that occurred on Monday, October 5th. The stock was sold at an average price of $113.72, for a total transaction of $42,645,000.00. Following the completion of the sale, the chief executive officer owned 375,000 shares of the company's stock, valued at approximately $42,645,000. The trade was a 50.00% 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. Over the last three months, insiders sold 1,089,658 shares of company stock valued at $127,966,018. 13.48% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Robinhood Markets

Several institutional investors and hedge funds have recently made changes to their positions in the business. MV Capital Management Inc. bought a new stake in Robinhood Markets in the fourth quarter worth $27,000. James T. Borello RIA purchased a new stake in Robinhood Markets during the third quarter valued at about $29,000. C M Bidwell & Associates Ltd. bought a new position in shares of Robinhood Markets during the second quarter valued at about $27,000. SHP Wealth Management bought a new position in shares of Robinhood Markets during the fourth quarter valued at about $32,000. Finally, Continuum Advisory LLC bought a new position in shares of Robinhood Markets during the second quarter valued at about $40,000. 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: New prediction-market opportunities: The SEC approved contracts linked to corporate performance metrics, enabling Robinhood and Cboe to expand event-based trading. The products could create a new revenue stream, although fee waivers and regulatory hurdles may delay meaningful monetization. SEC Approves HOOD-Linked KPI Contracts: A New Growth Avenue Unlocked?
• Positive Sentiment: Options-market support: Options activity suggests both sharply rising implied volatility and potential technical support building beneath the stock. This may attract short-term traders, but it also signals that investors expect larger price swings. Robinhood Stock Support Is Quietly Piling Up
• Neutral Sentiment: CEO stock-sale clarification: A filing showing no directly held Class A shares initially appeared to indicate a $43 million sale by CEO Vlad Tenev. Reports say the filing structure obscured his much larger Class B ownership, reducing the likelihood that the transaction represents a broad loss of insider confidence. Why Robinhood CEO’s $43 Million Stock Sale Isn’t What It Seems
• Negative Sentiment: Valuation and analyst pressure: Wolfe Research previously downgraded Robinhood, contributing to a sharp selloff, while Wells Fargo lowered its expectations for the stock. With shares trading at a premium valuation, investors appear increasingly sensitive to target-price reductions and concerns that valuation multiples are contracting. Robinhood Stock Valuation and Wolfe Downgrade
• Negative Sentiment: Tokenization controversy: AMC CEO Adam Aron criticized Robinhood’s tokenized-stock plans as “fake” or “synthetic,” warning they could affect shareholder rights and capital structures. The dispute adds regulatory and reputational uncertainty to Robinhood’s blockchain strategy, though it does not directly change current earnings. AMC CEO Criticizes Robinhood Stock Tokenization

Robinhood Markets Price Performance

HOOD stock opened at $98.87 on Friday. The firm has a 50 day simple moving average of $109.21 and a two-hundred day simple moving average of $96.19. The stock has a market cap of $88.89 billion, a PE ratio of 43.56, a P/E/G ratio of 1.93 and a beta of 2.35. Robinhood Markets has a one year low of $63.51 and a one year high of $150.47. 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 - Get Free Report) 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 2.15 EPS for the current fiscal year.

About Robinhood Markets

Robinhood Markets, Inc is a financial services company that operates a digital brokerage platform. Founded in 2013 by Vlad Tenev and Baiju Bhatt, the company became known for offering commission-free trading and a mobile-first investing experience designed to broaden access to financial markets.

Through its platform, Robinhood provides brokerage services for stocks, exchange-traded funds, options and other investments. Its offerings also include cryptocurrency trading, individual retirement accounts, margin investing, cash management services and Robinhood Gold, a subscription-based product that provides additional features and benefits.

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