Robinhood Markets (NASDAQ:HOOD) Shares Down 3.8% - Here's What Happened

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report)'s share price dropped 3.8% on Thursday . The company traded as low as $57.68 and last traded at $59.09. Approximately 14,518,694 shares traded hands during mid-day trading, a decline of 45% from the average daily volume of 26,278,590 shares. The stock had previously closed at $61.39.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. JPMorgan Chase & Co. upped their price target on shares of Robinhood Markets from $44.00 to $47.00 and gave the company a "neutral" rating in a report on Thursday, May 1st. KeyCorp decreased their price target on shares of Robinhood Markets from $75.00 to $55.00 and set an "overweight" rating for the company in a report on Wednesday, April 23rd. Deutsche Bank Aktiengesellschaft upped their price target on shares of Robinhood Markets from $54.00 to $64.00 and gave the company a "buy" rating in a report on Wednesday. Cantor Fitzgerald reduced their target price on shares of Robinhood Markets from $62.00 to $60.00 and set an "overweight" rating for the company in a research note on Thursday, May 1st. Finally, Compass Point initiated coverage on shares of Robinhood Markets in a research note on Wednesday, March 19th. They issued a "buy" rating and a $61.00 target price for the company. Six analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $55.41.

Robinhood Markets Stock Down 2.8%

The company has a market cap of $52.82 billion, a price-to-earnings ratio of 38.03, a price-to-earnings-growth ratio of 1.05 and a beta of 2.15. The company's fifty day moving average price is $44.26 and its two-hundred day moving average price is $43.08.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last released its earnings results 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 13.53% and a net margin of 47.81%. The business had revenue of $927.00 million for the quarter, compared to analyst estimates of $917.12 million. During the same period in the prior year, the firm posted $0.18 EPS. Robinhood Markets's revenue was up 50.0% on a year-over-year basis. Research analysts forecast that Robinhood Markets, Inc. will post 1.35 earnings per share for the current year.

Insider Activity

In other news, insider Daniel Martin Gallagher, Jr. sold 50,000 shares of the stock in a transaction dated Tuesday, February 18th. The shares were sold at an average price of $60.77, for a total transaction of $3,038,500.00. Following the completion of the transaction, the insider now directly owns 706,642 shares in the company, valued at $42,942,634.34. This represents a 6.61% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Baiju Bhatt sold 223,528 shares of the firm's stock in a transaction dated Friday, March 21st. The shares were sold at an average price of $43.21, for a total transaction of $9,658,644.88. Following the completion of the sale, the director now owns 5,042 shares of the company's stock, valued at $217,864.82. This trade represents a 97.79% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 1,840,014 shares of company stock valued at $83,494,057 in the last quarter. Company insiders own 14.47% of the company's stock.

Institutional Trading of Robinhood Markets

A number of hedge funds have recently added to or reduced their stakes in HOOD. Vanguard Group Inc. raised its stake in Robinhood Markets by 8.6% during the first quarter. Vanguard Group Inc. now owns 74,241,080 shares of the company's stock worth $3,089,914,000 after buying an additional 5,874,701 shares during the last quarter. FMR LLC boosted its holdings in Robinhood Markets by 184.8% during the fourth quarter. FMR LLC now owns 40,237,478 shares of the company's stock worth $1,499,248,000 after purchasing an additional 26,107,934 shares during the last quarter. Newlands Management Operations LLC boosted its holdings in Robinhood Markets by 1.1% during the fourth quarter. Newlands Management Operations LLC now owns 24,158,860 shares of the company's stock worth $900,159,000 after purchasing an additional 273,860 shares during the last quarter. Geode Capital Management LLC boosted its stake in Robinhood Markets by 4.8% in the fourth quarter. Geode Capital Management LLC now owns 12,175,972 shares of the company's stock valued at $455,464,000 after acquiring an additional 555,299 shares during the last quarter. Finally, Renaissance Technologies LLC boosted its stake in Robinhood Markets by 34.4% in the fourth quarter. Renaissance Technologies LLC now owns 12,078,116 shares of the company's stock valued at $450,031,000 after acquiring an additional 3,091,514 shares during the last quarter. 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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