Robinhood Markets (NASDAQ:HOOD) Shares Down 1% Following Insider Selling

Key Points

• Robinhood Markets shares fell 1% after insider Baiju Bhatt sold 418,338 shares at an average price of $101.88, significantly reducing his ownership stake by 97.55%.
• Analysts have mixed opinions on Robinhood's stock, with price targets ranging from a low of $48.00 to a high of $125.00, and an average consensus rating of "Moderate Buy."
• Institutional investors hold a substantial percentage of Robinhood's stock, owning approximately 93.27% of the company, reflecting strong confidence in its future prospects.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) traded down 1% during mid-day trading on Tuesday after an insider sold shares in the company. The company traded as low as $104.97 and last traded at $105.70. 9,364,381 shares traded hands during trading, a decline of 77% from the average session volume of 41,437,586 shares. The stock had previously closed at $106.77.

Specifically, Director Baiju Bhatt sold 418,338 shares of the business's stock in a transaction dated Thursday, July 24th. The shares were sold at an average price of $101.88, for a total transaction of $42,620,275.44. Following the sale, the director directly owned 10,518 shares in the company, valued at approximately $1,071,573.84. The trade was a 97.55% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the stock. Redburn Atlantic reaffirmed a "sell" rating and issued a $48.00 price objective (up previously from $40.00) on shares of Robinhood Markets in a research note on Monday, June 9th. Piper Sandler lifted their price objective on shares of Robinhood Markets from $70.00 to $110.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 15th. Compass Point lifted their price objective on shares of Robinhood Markets from $64.00 to $96.00 and gave the stock a "buy" rating in a research note on Friday, June 27th. Cantor Fitzgerald lifted their price objective on shares of Robinhood Markets from $89.00 to $100.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 1st. Finally, JMP Securities lifted their target price on shares of Robinhood Markets from $70.00 to $125.00 and gave the stock a "market outperform" rating in a research report on Monday, July 14th. One investment analyst has rated the stock with a sell rating, six have assigned a hold rating and twelve have given a buy rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $85.29.

Robinhood Markets Price Performance

The firm's 50 day moving average is $83.80 and its two-hundred day moving average is $60.44. The firm has a market capitalization of $92.01 billion, a P/E ratio of 59.30, a PEG ratio of 5.35 and a beta of 2.36.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last released its quarterly earnings data on Wednesday, April 30th. The company reported $0.37 EPS for the quarter, missing analysts' consensus estimates of $0.41 by ($0.04). Robinhood Markets had a return on equity of 15.42% and a net margin of 48.77%. The company had revenue of $927.00 million for the quarter, compared to the consensus estimate of $917.12 million. During the same period last year, the firm earned $0.18 earnings per share. The company's revenue for the quarter was up 50.0% compared to the same quarter last year. Analysts anticipate that Robinhood Markets, Inc. will post 1.35 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of HOOD. Whipplewood Advisors LLC grew its holdings in shares of Robinhood Markets by 564.4% during the first quarter. Whipplewood Advisors LLC now owns 598 shares of the company's stock worth $25,000 after purchasing an additional 508 shares during the last quarter. Hemington Wealth Management grew its holdings in shares of Robinhood Markets by 52.2% during the first quarter. Hemington Wealth Management now owns 636 shares of the company's stock worth $26,000 after purchasing an additional 218 shares during the last quarter. Wayfinding Financial LLC bought a new stake in shares of Robinhood Markets during the first quarter worth about $30,000. CoreCap Advisors LLC grew its holdings in shares of Robinhood Markets by 191.6% during the fourth quarter. CoreCap Advisors LLC now owns 837 shares of the company's stock worth $31,000 after purchasing an additional 550 shares during the last quarter. Finally, Pandora Wealth Inc. bought a new stake in shares of Robinhood Markets during the first quarter worth about $33,000. Institutional investors and hedge funds 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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