Robinhood Markets (NASDAQ:HOOD) Stock Price Expected to Rise, Morgan Stanley Analyst Says

Key Points

• Morgan Stanley has raised its price target for Robinhood Markets (NASDAQ:HOOD) from $110.00 to $146.00, suggesting a potential upside of 5.41% from its previous close.
• Other analysts have also increased their price objectives for Robinhood, with the range now falling between $85.00 and $152.00, indicating a consensus average target of $110.88.
• Insiders have sold nearly 5 million shares of Robinhood stock in the last three months, while institutional investors hold approximately 93.27% of the company’s shares.

Robinhood Markets (NASDAQ:HOOD - Get Free Report) had its price target increased by Morgan Stanley from $110.00 to $146.00 in a note issued to investors on Wednesday,Benzinga reports. The firm presently has an "equal weight" rating on the stock. Morgan Stanley's price objective indicates a potential upside of 5.41% from the stock's previous close.

Other analysts have also issued reports about the company. Keefe, Bruyette & Woods boosted their price objective on Robinhood Markets from $89.00 to $106.00 and gave the company a "market perform" rating in a report on Thursday, July 31st. Mizuho boosted their price objective on Robinhood Markets from $120.00 to $145.00 and gave the company an "outperform" rating in a report on Wednesday, September 10th. The Goldman Sachs Group boosted their price objective on Robinhood Markets from $134.00 to $152.00 and gave the company a "buy" rating in a report on Tuesday. Deutsche Bank Aktiengesellschaft upped their target price on Robinhood Markets from $70.00 to $85.00 and gave the company a "buy" rating in a report on Monday, June 9th. Finally, Redburn Atlantic reaffirmed a "sell" rating and set a $48.00 target price (up from $40.00) on shares of Robinhood Markets in a report on Monday, June 9th. Eleven investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $110.88.

Robinhood Markets Trading Down 3.3%

Shares of HOOD traded down $4.67 during midday trading on Wednesday, reaching $138.51. 18,317,326 shares of the company were exchanged, compared to its average volume of 42,161,977. Robinhood Markets has a 1-year low of $22.05 and a 1-year high of $143.62. The company has a market cap of $123.09 billion, a price-to-earnings ratio of 70.35, a P/E/G ratio of 4.87 and a beta of 2.36. The stock has a 50-day moving average price of $111.96 and a 200-day moving average price of $80.46.

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

Insider Buying and Selling

In other Robinhood Markets news, Director Baiju Bhatt sold 1,568,421 shares of the company's stock in a transaction on Friday, August 1st. The stock was sold at an average price of $99.98, for a total value of $156,810,731.58. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Vladimir Tenev sold 385,485 shares of the business's stock in a transaction on Wednesday, July 16th. The shares were sold at an average price of $101.90, for a total transaction of $39,280,921.50. The disclosure for this sale can be found here. Insiders have sold 4,931,462 shares of company stock valued at $511,774,417 in the last three months. Insiders own 19.95% of the company's stock.

Hedge Funds Weigh In On Robinhood Markets

A number of hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. increased its stake in shares of Robinhood Markets by 1.8% in the second quarter. Vanguard Group Inc. now owns 75,612,131 shares of the company's stock worth $7,079,564,000 after acquiring an additional 1,371,051 shares during the last quarter. State Street Corp raised its position in shares of Robinhood Markets by 9.2% during the second quarter. State Street Corp now owns 15,870,421 shares of the company's stock valued at $1,485,948,000 after buying an additional 1,341,204 shares during the last quarter. Geode Capital Management LLC raised its position in shares of Robinhood Markets by 4.0% during the second quarter. Geode Capital Management LLC now owns 13,176,539 shares of the company's stock valued at $1,233,840,000 after buying an additional 507,926 shares during the last quarter. WCM Investment Management LLC raised its position in shares of Robinhood Markets by 3,615.7% during the second quarter. WCM Investment Management LLC now owns 11,555,160 shares of the company's stock valued at $1,081,910,000 after buying an additional 11,244,182 shares during the last quarter. Finally, Norges Bank acquired a new position in shares of Robinhood Markets during the second quarter valued at about $973,122,000. 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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