Robinhood Markets (NASDAQ:HOOD) Shares Up 1.3% - Here's Why

Key Points

• Robinhood Markets' shares increased by 1.3% during trading on Wednesday, with approximately 8.98 million shares traded, marking a significant decline in volume compared to the average daily trading.
• Several analysts have raised their price targets for Robinhood, with Morgan Stanley increasing theirs from $43.00 to $110.00, reflecting a generally positive outlook on the stock.
• The company reported earnings of $0.42 EPS for the last quarter, surpassing analysts' estimates, and noting a 45% increase in revenue year-over-year.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) shares were up 1.3% during trading on Wednesday . The stock traded as high as $102.69 and last traded at $102.11. Approximately 8,980,908 shares were traded during mid-day trading, a decline of 78% from the average daily volume of 41,166,148 shares. The stock had previously closed at $100.84.

Analyst Upgrades and Downgrades

Several analysts have commented on HOOD shares. Morgan Stanley raised their price objective on Robinhood Markets from $43.00 to $110.00 and gave the company an "equal weight" rating in a report on Tuesday, July 15th. Piper Sandler raised their target price on Robinhood Markets from $110.00 to $120.00 and gave the company an "overweight" rating in a research report on Thursday, July 31st. The Goldman Sachs Group raised their target price on Robinhood Markets from $91.00 to $104.00 and gave the company a "buy" rating in a research report on Monday, July 7th. Keefe, Bruyette & Woods raised their target price on Robinhood Markets from $89.00 to $106.00 and gave the company a "market perform" rating in a research report on Thursday, July 31st. Finally, Redburn Atlantic restated a "sell" rating and issued a $48.00 target price (up previously from $40.00) on shares of Robinhood Markets in a research report on Monday, June 9th. Eleven analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Robinhood Markets has an average rating of "Moderate Buy" and a consensus target price of $100.31.

Robinhood Markets Stock Down 0.7%

The stock has a market cap of $88.99 billion, a PE ratio of 50.79, a P/E/G ratio of 3.81 and a beta of 2.36. The stock has a 50-day moving average of $102.62 and a 200 day moving average of $70.48.

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

Insider Activity at Robinhood Markets

In other Robinhood Markets news, insider Steven M. Quirk sold 40,131 shares of the firm's stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $104.71, for a total transaction of $4,202,117.01. Following the completion of the sale, the insider owned 120,408 shares of the company's stock, valued at $12,607,921.68. This trade represents a 25.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Baiju Bhatt sold 418,338 shares of the firm's stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $109.39, for a total value of $45,761,993.82. The disclosure for this sale can be found here. Insiders have sold 5,688,606 shares of company stock valued at $561,670,429 over the last 90 days. Corporate insiders own 19.95% of the company's stock.

Institutional Investors Weigh In On Robinhood Markets

A number of institutional investors have recently modified their holdings of HOOD. Whipplewood Advisors LLC grew its stake in Robinhood Markets by 564.4% during the 1st quarter. Whipplewood Advisors LLC now owns 598 shares of the company's stock worth $25,000 after purchasing an additional 508 shares in the last quarter. Hantz Financial Services Inc. grew its stake in Robinhood Markets by 120.3% during the 2nd quarter. Hantz Financial Services Inc. now owns 271 shares of the company's stock worth $25,000 after purchasing an additional 148 shares in the last quarter. Hemington Wealth Management grew its stake in Robinhood Markets by 52.2% during the 1st quarter. Hemington Wealth Management now owns 636 shares of the company's stock worth $26,000 after purchasing an additional 218 shares in the last quarter. Smithfield Trust Co acquired a new position in Robinhood Markets during the 2nd quarter worth $29,000. Finally, Wayfinding Financial LLC acquired a new position in Robinhood Markets during the 1st quarter worth $30,000. 93.27% of the stock is owned by institutional investors and hedge funds.

Robinhood Markets Company Profile

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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