Robinhood Markets (NASDAQ:HOOD) Hits New 52-Week High - Here's Why

Key Points

• Robinhood Markets' stock reached a new 52-week high of $116.50, reflecting strong trading activity with over 10 million shares exchanged.
• Analysts have raised their price targets for Robinhood, with Barclays increasing its target from $102 to $120, indicating a positive outlook for the company's future performance.
• Robinhood reported a quarterly earnings per share of $0.42, surpassing expectations, and demonstrated a significant year-over-year revenue growth of 45%, totaling $989 million.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) shares reached a new 52-week high on Friday . The stock traded as high as $116.50 and last traded at $116.27, with a volume of 10443047 shares changing hands. The stock had previously closed at $111.23.

Analyst Ratings Changes

HOOD has been the subject of several recent research reports. Barclays boosted their price objective on Robinhood Markets from $102.00 to $120.00 and gave the company an "overweight" rating in a report on Thursday, July 31st. Morgan Stanley upped their target price on shares of Robinhood Markets from $43.00 to $110.00 and gave the stock an "equal weight" rating in a report on Tuesday, July 15th. The Goldman Sachs Group boosted their price objective on Robinhood Markets from $91.00 to $104.00 and gave the stock a "buy" rating in a report on Monday, July 7th. Citigroup upped their price target on Robinhood Markets from $100.00 to $120.00 and gave the stock a "neutral" rating in a report on Thursday, July 31st. Finally, JPMorgan Chase & Co. raised their price objective on Robinhood Markets from $44.00 to $47.00 and gave the company a "neutral" rating in a research note on Thursday, May 1st. One analyst has rated the stock with a sell rating, six have issued a hold rating and twelve have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $96.29.

Robinhood Markets Stock Up 3.2%

The stock has a market cap of $101.65 billion, a P/E ratio of 58.23, a price-to-earnings-growth ratio of 4.03 and a beta of 2.36. The business's 50-day simple moving average is $90.33 and its two-hundred day simple moving average is $63.55.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The company reported $0.42 EPS for the quarter, beating analysts' consensus estimates of $0.30 by $0.12. Robinhood Markets had a net margin of 50.13% and a return on equity of 17.48%. The company had revenue of $989.00 million for the quarter, compared to analysts' expectations of $893.93 million. During the same period in the prior year, the company posted $0.21 EPS. Robinhood Markets's revenue was up 45.0% compared to the same quarter last year. Analysts anticipate that Robinhood Markets, Inc. will post 1.35 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Steven M. Quirk sold 104,887 shares of the company's stock in a transaction on Tuesday, June 3rd. The shares were sold at an average price of $70.14, for a total value of $7,356,774.18. Following the transaction, the insider owned 228,621 shares of the company's stock, valued at approximately $16,035,476.94. This represents a 31.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Baiju Bhatt sold 1,568,421 shares of Robinhood Markets stock in a transaction on Friday, August 1st. The stock was sold at an average price of $99.98, for a total transaction of $156,810,731.58. The disclosure for this sale can be found here. Insiders have sold 4,752,293 shares of company stock worth $436,586,556 in the last 90 days. 14.47% of the stock is owned by company insiders.

Institutional Trading of Robinhood Markets

A number of institutional investors have recently made changes to their positions in HOOD. WCM Investment Management LLC boosted its position in Robinhood Markets by 3,615.7% during the 2nd quarter. WCM Investment Management LLC now owns 11,555,160 shares of the company's stock valued at $1,081,910,000 after buying an additional 11,244,182 shares during the period. Kingstone Capital Partners Texas LLC purchased a new stake in shares of Robinhood Markets during the second quarter worth about $951,479,000. Vanguard Group Inc. grew its stake in shares of Robinhood Markets by 8.6% in the first quarter. Vanguard Group Inc. now owns 74,241,080 shares of the company's stock worth $3,089,914,000 after purchasing an additional 5,874,701 shares during the last quarter. AGF Management Ltd. increased its holdings in Robinhood Markets by 286.0% during the 1st quarter. AGF Management Ltd. now owns 5,743,715 shares of the company's stock valued at $239,053,000 after purchasing an additional 4,255,862 shares during the period. Finally, Price T Rowe Associates Inc. MD increased its holdings in Robinhood Markets by 335.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 5,185,225 shares of the company's stock valued at $193,202,000 after purchasing an additional 3,994,745 shares during the period. Hedge funds and other institutional investors own 93.27% of the company's stock.

About Robinhood Markets

Robinhood Markets, Inc operates financial services platform in the United States. Its platform allows users to invest in stocks, exchange-traded funds (ETFs), American depository receipts, options, gold, and cryptocurrencies. The company offers fractional trading, recurring investments, fully-paid securities lending, access to investing on margin, cash sweep, instant withdrawals, retirement program, around-the-clock trading, and initial public offerings participation services.

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