WCM Investment Management LLC Sells 2,449,189 Shares of Robinhood Markets, Inc. $HOOD

Key Points

• WCM Investment Management cut its Robinhood stake by 47.5% in the first quarter, selling 2.45 million shares and ending with 2.71 million shares valued at about $176.5 million.
• Insider selling continued, with executive Steven M. Quirk and director Paula Loop both reducing their positions on July 2 under pre-arranged trading plans. Over the past three months, insiders have sold more shares than they bought.
• Analysts remain broadly bullish on HOOD despite mixed recent performance, with Goldman Sachs raising its price target to $137 and the stock carrying a consensus “Moderate Buy” rating and $118.70 target.

WCM Investment Management LLC lowered its stake in Robinhood Markets, Inc. (NASDAQ:HOOD - Free Report) by 47.5% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 2,708,576 shares of the company's stock after selling 2,449,189 shares during the period. WCM Investment Management LLC owned 0.30% of Robinhood Markets worth $176,491,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Sound Income Strategies LLC boosted its holdings 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 valued at $26,000 after acquiring an additional 145 shares in the last quarter. CYBER HORNET ETFs LLC increased its holdings in Robinhood Markets by 527.8% in the 4th quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company's stock worth $26,000 after purchasing an additional 190 shares in the last quarter. Elyxium Wealth LLC acquired a new position in Robinhood Markets in the 4th quarter worth about $27,000. MV Capital Management Inc. bought a new position in Robinhood Markets in the fourth quarter valued at about $27,000. Finally, Swiss RE Ltd. bought a new position in Robinhood Markets in the fourth quarter valued at about $27,000. Institutional investors own 93.27% of the company's stock.

Insiders Place Their Bets

In other Robinhood Markets news, insider Steven M. Quirk sold 19,377 shares of the firm's stock in a transaction that occurred on Thursday, July 2nd. The shares were sold at an average price of $119.96, for a total transaction of $2,324,464.92. Following the completion of the transaction, the insider owned 62,612 shares in the company, valued at approximately $7,510,935.52. This trade represents a 23.63% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Paula Loop sold 8,336 shares of the business's stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $120.00, for a total transaction of $1,000,320.00. Following the completion of the transaction, the director owned 63,674 shares in the company, valued at $7,640,880. This trade represents a 11.58% 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. Over the last three months, insiders purchased 680,000 shares of company stock valued at $55,306,560 and sold 587,875 shares valued at $62,602,915. Insiders own 13.48% of the company's stock.

Robinhood Markets Stock Performance

NASDAQ HOOD opened at $99.96 on Monday. The business's 50-day moving average price is $94.26 and its two-hundred day moving average price is $88.89. Robinhood Markets, Inc. has a 12 month low of $63.51 and a 12 month high of $153.86. The firm has a market capitalization of $90.01 billion, a PE ratio of 48.29, a price-to-earnings-growth ratio of 2.11 and a beta of 2.33.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last issued its quarterly earnings results 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). Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The company had revenue of $1.07 billion during the quarter, compared to analyst estimates of $1.14 billion. During the same period in the previous year, the company posted $0.37 EPS. The company's quarterly revenue was up 15.1% on a year-over-year basis. As a group, analysts forecast that Robinhood Markets, Inc. will post 1.86 earnings per share for the current fiscal year.

Key Stories Impacting Robinhood Markets

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

• Positive Sentiment: Goldman Sachs raised its price target on Robinhood to $137 from $121 and reiterated a Buy rating ahead of earnings, signaling confidence in the company’s growth potential and implying meaningful upside from current levels. Goldman Sachs raises price target on Robinhood ahead of earnings
• Neutral Sentiment: Robinhood is drawing heavy investor attention online, with Zacks noting that the stock has become a trending name; this reflects interest rather than a direct fundamental catalyst. Robinhood Markets, Inc. (HOOD) Is a Trending Stock: Facts to Know Before Betting on It
• Neutral Sentiment: Robinhood recently benefited from a broad market upswing and has continued to trade well above its 50-day and 200-day moving averages, but that momentum has been offset by a more volatile tape in recent sessions. Robinhood Markets, Inc. (HOOD) Beats Stock Market Upswing: What Investors Need to Know
• Negative Sentiment: Brokerage stocks, including Robinhood, were hit by a Nasdaq-100 selloff and a decline in crypto prices, both of which can reduce trading activity and weigh on revenue expectations. Robinhood Drops 4%, Webull Tumbles 6% as NASDAQ 100 Selloff and Crypto Dip Hit Retail-Brokerage Stocks
• Negative Sentiment: Reports that Robinhood is selling $400 million of credit-card asset-backed bonds added to investor caution, likely feeding concerns about financing activity and broader market stress. Why Is Robinhood Stock Falling on Friday?

Analysts Set New Price Targets

A number of analysts have recently commented on HOOD shares. Truist Financial cut their price target on Robinhood Markets from $120.00 to $100.00 and set a "buy" rating on the stock in a research note on Monday, April 13th. Sanford C. Bernstein reiterated an "outperform" rating and issued a $130.00 price objective on shares of Robinhood Markets in a report on Tuesday, April 14th. Deutsche Bank Aktiengesellschaft lifted their target price on shares of Robinhood Markets from $105.00 to $113.00 and gave the stock a "buy" rating in a research report on Tuesday, June 30th. Cantor Fitzgerald reissued an "overweight" rating and set a $110.00 target price on shares of Robinhood Markets in a report on Tuesday, June 9th. Finally, KeyCorp restated an "overweight" rating and issued a $100.00 price target on shares of Robinhood Markets in a research report on Monday, June 1st. Twenty-one equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $118.70.

Robinhood Markets 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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