Robinhood Markets (NASDAQ:HOOD) Shares Up 3.3% - Time to Buy?

Key Points

• Robinhood shares rose 3.3% in mid-day trading, with the stock reaching as high as $113.69. Volume was lighter than usual, coming in 41% below the average session volume.
• Analysts are turning more constructive on the stock, highlighted by Compass Point raising its price target while keeping a Buy rating. Overall, Robinhood now has a consensus Moderate Buy rating and a $118 average target price.
• Beyond the stock move, Robinhood is seeing multiple growth-related developments, including a reported plan for a up to $500 million credit card-backed bond sale and continued traction for its Robinhood Chain and AI crypto trading features.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) shares traded up 3.3% during mid-day trading on Tuesday . The stock traded as high as $113.69 and last traded at $113.45. 17,595,065 shares changed hands during trading, a decline of 41% from the average session volume of 29,983,734 shares. The stock had previously closed at $109.86.

Key Stories Impacting Robinhood Markets

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

• Positive Sentiment: Compass Point raised its price target on Robinhood and kept a Buy rating, adding to a wave of analyst upgrades that suggests Wall Street is becoming more constructive on the stock. Compass Point Raises Robinhood (HOOD) Price Target, Keeps Buy Rating
• Positive Sentiment: Robinhood reportedly is exploring a first credit card-backed bond sale of up to $500 million, which could broaden funding options and signal confidence in its consumer credit-card business. Robinhood Weighs Its First Sale of Card Receivables-Backed Bond
• Positive Sentiment: Robinhood Chain continues to generate strong attention after launch, with reports highlighting rapid activity, growing DEX usage, and broader adoption of its tokenized-stock infrastructure. Analysts stunned by Robinhood's $3.1 billion debut week
• Positive Sentiment: Robinhood also added AI agent trading to crypto after 70,000 accounts joined the beta, reinforcing product expansion and user engagement. Robinhood Brings AI Agent Trading to Crypto After 70,000 Accounts Join Beta
• Neutral Sentiment: Market commentary is asking whether investors should buy Robinhood before July 29, reflecting renewed interest but no clear new fundamental catalyst. Should You Buy Robinhood Stock Before July 29?
• Neutral Sentiment: A separate report on a scammer trying to change details on an empty Robinhood account appears more like a customer-safety anecdote than a material business issue. They are relentless': A scammer is trying to change the email on my empty Robinhood account. What do they have to gain?
• Negative Sentiment: Some commentary questions whether the bullish read on Robinhood Chain is too simple, suggesting investors should be cautious about assuming immediate monetization from the blockchain push. Robinhood Chain's ETH Surge Revives Ethereum's L2 Debate, But Is The Bullish Read Too Simple?

Wall Street Analysts Forecast Growth

Several equities analysts have commented on HOOD shares. Jefferies Financial Group lowered their price target on Robinhood Markets from $88.00 to $84.00 and set a "buy" rating on the stock in a report on Monday, April 6th. Piper Sandler reiterated an "overweight" rating on shares of Robinhood Markets in a research note on Thursday, July 2nd. Morgan Stanley lifted their target price on Robinhood Markets from $95.00 to $124.00 and gave the stock an "equal weight" rating in a research report on Friday. Barclays boosted their price target on shares of Robinhood Markets from $82.00 to $122.00 and gave the company an "overweight" rating in a report on Thursday, July 9th. Finally, Keefe, Bruyette & Woods dropped their target price on Robinhood Markets from $75.00 to $65.00 and set a "market perform" rating for the company in a report on Wednesday, April 29th. Twenty-one equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, Robinhood Markets has a consensus rating of "Moderate Buy" and a consensus target price of $118.00.

Robinhood Markets Stock Up 3.3%

The business's fifty day moving average is $91.75 and its two-hundred day moving average is $89.18. The firm has a market cap of $102.16 billion, a price-to-earnings ratio of 54.81, a price-to-earnings-growth ratio of 2.41 and a beta of 2.33.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last released its earnings results on Tuesday, April 28th. The company reported $0.38 EPS for the quarter, missing the consensus estimate of $0.39 by ($0.01). The firm had revenue of $1.07 billion during the quarter, compared to analyst estimates of $1.14 billion. Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The firm's quarterly revenue was up 15.1% on a year-over-year basis. During the same period last year, the business posted $0.37 earnings per share. Research analysts forecast that Robinhood Markets, Inc. will post 1.88 EPS for the current year.

Insider Transactions at Robinhood Markets

In other Robinhood Markets news, insider Steven M. Quirk sold 19,377 shares of the company's stock in a transaction dated 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 transaction, the insider directly owned 62,612 shares in the company, valued at approximately $7,510,935.52. This represents a 23.63% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Paula Loop sold 8,336 shares of the firm's stock in a transaction dated Thursday, July 2nd. The shares were 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 directly owned 63,674 shares in the company, valued at $7,640,880. This trade represents a 11.58% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders acquired 680,000 shares of company stock valued at $55,306,560 and sold 659,112 shares valued at $68,741,158. Company insiders own 13.48% of the company's stock.

Institutional Investors Weigh In On Robinhood Markets

A number of institutional investors and hedge funds have recently modified their holdings of HOOD. State Street Corp grew its holdings in Robinhood Markets by 103.2% during the 3rd quarter. State Street Corp now owns 32,246,155 shares of the company's stock worth $4,617,004,000 after acquiring an additional 16,375,734 shares during the period. Norges Bank bought a new position in shares of Robinhood Markets in the 4th quarter worth $1,202,160,000. Amundi grew its stake in shares of Robinhood Markets by 89.0% during the first quarter. Amundi now owns 6,385,232 shares of the company's stock worth $442,497,000 after purchasing an additional 3,007,103 shares during the period. Corient Private Wealth LLC grew its stake in shares of Robinhood Markets by 5,221.4% during the fourth quarter. Corient Private Wealth LLC now owns 2,559,848 shares of the company's stock worth $289,519,000 after purchasing an additional 2,511,743 shares during the period. Finally, Jennison Associates LLC increased its holdings in Robinhood Markets by 95.7% in the fourth quarter. Jennison Associates LLC now owns 4,412,036 shares of the company's stock valued at $499,001,000 after purchasing an additional 2,157,372 shares during the last quarter. 93.27% of the stock is owned by institutional investors.

Robinhood Markets Company 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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