Robinhood Markets (NASDAQ:HOOD) Stock Price Down 1.1% Following Analyst Downgrade

Key Points

• Robinhood shares fell 1.1% after KeyCorp cut its price target from $160 to $130 while keeping an overweight rating, with the stock trading around $85.60 and volume up about 29% versus average.
• Analyst sentiment remains broadly positive—17 Buys, 6 Holds and 1 Sell—with a consensus price target of about $131.82, though recent estimate revisions ahead of earnings raise short‑term event risk.
• Significant insider selling was disclosed: CEO Vladimir Tenev sold 375,000 shares (around $45.6M), and insiders sold roughly 1.54M shares worth $182.3M in the last quarter; insiders currently own about 19.95% of the stock.

Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) traded down 1.1% on Tuesday after KeyCorp lowered their price target on the stock from $160.00 to $130.00. KeyCorp currently has an overweight rating on the stock. Robinhood Markets traded as low as $85.21 and last traded at $85.60. 37,135,207 shares changed hands during mid-day trading, an increase of 29% from the average session volume of 28,678,525 shares. The stock had previously closed at $86.56.

Other research analysts also recently issued reports about the stock. Piper Sandler reiterated an "overweight" rating on shares of Robinhood Markets in a research note on Monday, February 2nd. Bank of America decreased their price target on Robinhood Markets from $166.00 to $154.00 and set a "buy" rating for the company in a research note on Wednesday, December 10th. Truist Financial reduced their target price on Robinhood Markets from $155.00 to $130.00 and set a "buy" rating on the stock in a report on Friday. Cantor Fitzgerald raised shares of Robinhood Markets to a "strong-buy" rating in a research note on Tuesday, January 27th. Finally, Keefe, Bruyette & Woods upped their price target on shares of Robinhood Markets from $121.00 to $135.00 and gave the company a "market perform" rating in a research report on Thursday, November 6th. Seventeen investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Robinhood Markets currently has an average rating of "Moderate Buy" and a consensus price target of $131.82.

Insider Buying and Selling at Robinhood Markets

In other news, CEO Vladimir Tenev sold 375,000 shares of the firm's stock in a transaction dated Monday, January 5th. The stock was sold at an average price of $121.63, for a total transaction of $45,611,250.00. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Steven M. Quirk sold 52,540 shares of the stock in a transaction that occurred on Tuesday, February 3rd. The shares were sold at an average price of $87.81, for a total value of $4,613,537.40. Following the sale, the insider directly owned 27,564 shares of the company's stock, valued at approximately $2,420,394.84. This trade represents a 65.59% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,537,615 shares of company stock worth $182,272,702 in the last quarter. 19.95% of the stock is currently owned by company insiders.

Key Robinhood Markets News

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

• Positive Sentiment: Wolfe Research upgraded HOOD to "outperform" and raised its price target to $125, signaling ~45% upside vs. current levels and supporting bullish analyst momentum. Wolfe Research upgrades Robinhood to $125 price target: 50% potential upside
• Positive Sentiment: Cantor Fitzgerald reaffirmed an "overweight" rating with a $130 target, and other firms have kept constructive stances — collective analyst support is propping sentiment into earnings. Benzinga
• Positive Sentiment: Robinhood is seeing Dogecoin inflows as Ark Invest builds a long-term position, which could boost crypto trading revenue if the trend continues. Robinhood Sees Dogecoin Inflows As Ark Invest Builds Long Term Position
• Neutral Sentiment: Analysts have issued a flurry of estimate revisions ahead of the Q4 call; consensus remains generally constructive (average rating ~"moderate buy"), but revisions increase event risk. Robinhood Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Neutral Sentiment: Investors expect a sizable post-earnings move — models show HOOD could swing materially after the report, increasing short-term volatility. Position sizes should reflect that risk. Here's How Much Robinhood Stock Is Expected to Move After Earnings
• Neutral Sentiment: HOOD appears on a Zacks/top-software list, reflecting continued interest from growth/software investors but also exposure to the broader tech/software selloff. 5 Top Software Stocks Investors Can Buy Now (APP, PLTR, HOOD, CRM, NOW)
• Negative Sentiment: Media commentary (Jim Cramer) warned HOOD may be "the repository of something that's become toxic," citing investor unease over the stock's close correlation with Bitcoin — that narrative can amplify downside if crypto weakens. Jim Cramer Says “Robinhood May Be the Repository of Something That’s Become Toxic”

Hedge Funds Weigh In On Robinhood Markets

Institutional investors and hedge funds have recently modified their holdings of the company. Jennison Associates LLC purchased a new position in shares of Robinhood Markets in the 3rd quarter valued at about $322,823,000. Allstate Corp acquired a new position in Robinhood Markets during the third quarter worth about $3,860,000. New York Life Investment Management LLC acquired a new position in shares of Robinhood Markets during the 3rd quarter worth approximately $14,989,000. Principal Financial Group Inc. lifted its stake in Robinhood Markets by 909.9% in the 3rd quarter. Principal Financial Group Inc. now owns 831,466 shares of the company's stock valued at $119,049,000 after buying an additional 749,132 shares in the last quarter. Finally, New Wave Wealth Advisors LLC grew its holdings in Robinhood Markets by 479.4% during the 3rd quarter. New Wave Wealth Advisors LLC now owns 13,331 shares of the company's stock valued at $1,909,000 after buying an additional 11,030 shares during the last quarter. 93.27% of the stock is currently owned by hedge funds and other institutional investors.

Robinhood Markets Price Performance

The firm has a market capitalization of $76.97 billion, a PE ratio of 35.52, a P/E/G ratio of 1.30 and a beta of 2.44. The company has a 50-day moving average price of $113.25 and a 200-day moving average price of $119.11.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The company reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.58 by $0.08. The company had revenue of $1.28 billion for the quarter, compared to analysts' expectations of $1.32 billion. Robinhood Markets had a net margin of 52.19% and a return on equity of 21.74%. On average, research analysts predict that Robinhood Markets, Inc. will post 1.35 earnings per share for the current fiscal year.

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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