Hound Partners LLC Makes New $73.15 Million Investment in Robinhood Markets, Inc. $HOOD

Key Points

• Hound Partners purchased 1.06 million Robinhood shares worth approximately $73.15 million, making HOOD its fifth-largest portfolio holding and representing 9.2% of its portfolio.
• Institutional ownership remains high at 93.27%, while several major investors—including Nomura Asset Management and Swiss Life Asset Management—significantly increased their positions.
• Robinhood’s shares opened at $94.91, below the analyst consensus target of $122.22. Although analysts maintain a “Moderate Buy” consensus, the company recently slightly missed quarterly EPS and revenue estimates, and insiders have reported substantial stock sales.

Hound Partners LLC acquired a new stake in shares of Robinhood Markets, Inc. (NASDAQ:HOOD - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 1,055,555 shares of the company's stock, valued at approximately $73,150,000. Robinhood Markets comprises about 9.2% of Hound Partners LLC's portfolio, making the stock its 5th largest position. Hound Partners LLC owned 0.12% of Robinhood Markets as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors have also made changes to their positions in the stock. Truist Financial Corp lifted its stake in shares of Robinhood Markets by 88.9% in the fourth quarter. Truist Financial Corp now owns 145,489 shares of the company's stock valued at $16,455,000 after buying an additional 68,458 shares during the period. PNC Financial Services Group Inc. grew its position in Robinhood Markets by 86.2% during the fourth quarter. PNC Financial Services Group Inc. now owns 100,849 shares of the company's stock worth $11,406,000 after buying an additional 46,688 shares in the last quarter. Nomura Asset Management Co. Ltd. increased its stake in Robinhood Markets by 196.3% during the fourth quarter. Nomura Asset Management Co. Ltd. now owns 722,857 shares of the company's stock valued at $81,755,000 after acquiring an additional 478,919 shares during the period. Teachers Retirement System of The State of Kentucky increased its stake in Robinhood Markets by 100.0% during the fourth quarter. Teachers Retirement System of The State of Kentucky now owns 60,000 shares of the company's stock valued at $6,786,000 after acquiring an additional 30,000 shares during the period. Finally, Swiss Life Asset Management Ltd raised its holdings in Robinhood Markets by 107.8% in the 4th quarter. Swiss Life Asset Management Ltd now owns 272,604 shares of the company's stock valued at $30,832,000 after acquiring an additional 141,440 shares in the last quarter. 93.27% of the stock is owned by institutional investors.

Insider Transactions at Robinhood Markets

In related news, insider Steven M. Quirk sold 19,377 shares of the firm's stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $119.96, for a total transaction of $2,324,464.92. Following the sale, the insider owned 62,612 shares of the company's stock, valued at approximately $7,510,935.52. This trade represents a 23.63% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Vladimir Tenev sold 375,000 shares of the firm's stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $116.17, for a total value of $43,563,750.00. Following the sale, the chief executive officer directly owned 375,000 shares in the company, valued at approximately $43,563,750. This represents a 50.00% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have acquired 680,000 shares of company stock valued at $55,306,560 and have sold 582,040 shares valued at $62,113,242. Corporate insiders own 13.48% of the company's stock.

Robinhood Markets Price Performance

Shares of HOOD opened at $94.91 on Monday. The company has a market capitalization of $85.47 billion, a P/E ratio of 45.85, a PEG ratio of 2.00 and a beta of 2.33. Robinhood Markets, Inc. has a one year low of $63.51 and a one year high of $153.86. The business's 50 day simple moving average is $96.52 and its 200-day simple moving average is $88.37.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The company reported $0.38 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.01). The company had revenue of $1.07 billion during the quarter, compared to analyst estimates of $1.14 billion. Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The company's revenue was up 15.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.37 EPS. On average, sell-side analysts anticipate that Robinhood Markets, Inc. will post 1.86 EPS for the current fiscal year.

More Robinhood Markets News

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

• Positive Sentiment: Robinhood is getting support from analyst optimism, including a recent upgrade and a view that the stock could rise further ahead of earnings. Robinhood Markets NASDAQ: HOOD Trading 7.1% Higher on Analyst Upgrade
• Positive Sentiment: Market commentary highlighted Robinhood and Hyperliquid as potential leaders in the next crypto bull market, reinforcing investor interest in Robinhood’s crypto-linked growth opportunity. Robinhood, Hyperliquid could lead crypto's next bull market...
• Positive Sentiment: Analysts and investors are focusing on upcoming Q2 metrics, which suggests the market is looking for a potentially meaningful earnings-related catalyst. Curious about Robinhood Markets (HOOD) Q2 Performance?
• Neutral Sentiment: Robinhood’s CEO X account was reportedly hacked to promote a fake memecoin, a headline that could raise some reputational noise but does not appear tied to the company’s core operations. Robinhood CEO’s X Account Hacked to Promote Fake Memecoin
• Neutral Sentiment: Recent coverage also centered on Robinhood’s growing product ecosystem, including Gold card adoption and a new Platinum card launch, but this was offset by ARK Invest reducing its position. Cathie Wood’s ARK Sells HOOD Stock Again...
• Negative Sentiment: Shares have been pressured by broader tech weakness, recent ARK selling, and caution ahead of earnings, which helped drive the stock lower in recent sessions. Why Is Robinhood Stock Falling on Thursday?
• Negative Sentiment: In the most recent reported trading session, HOOD also underperformed the broader market, adding to near-term weakness. Robinhood Markets, Inc. (HOOD) Suffers a Larger Drop Than the General Market

Analyst Upgrades and Downgrades

A number of analysts have commented on the company. Truist Financial reduced their price objective on Robinhood Markets from $120.00 to $100.00 and set a "buy" rating for the company in a research report on Monday, April 13th. JPMorgan Chase & Co. cut their target price on Robinhood Markets from $113.00 to $92.00 and set a "neutral" rating for the company in a research note on Thursday, April 23rd. Sanford C. Bernstein raised their target price on Robinhood Markets from $130.00 to $160.00 and gave the stock an "outperform" rating in a research report on Monday, July 20th. China Renaissance assumed coverage on shares of Robinhood Markets in a research note on Tuesday, July 7th. They set a "buy" rating on the stock. Finally, Jefferies Financial Group lowered their price target on shares of Robinhood Markets from $88.00 to $84.00 and set a "buy" rating on the stock in a report on Monday, April 6th. Twenty-one equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $122.22.

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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