Wolfe Research Upgrades Robinhood Markets (NASDAQ:HOOD) to “Outperform”

Robinhood Markets (NASDAQ:HOOD) was upgraded by analysts at Wolfe Research from a “peer perform” rating to an “outperform” rating in a research report issued on Monday, MarketBeat reports. The brokerage presently has a $125.00 target price on the stock. Wolfe Research’s price target suggests a potential upside of 46.03% from the company’s previous close.

A number of other analysts have also weighed in on the company. Dbs Bank raised Robinhood Markets to a “moderate buy” rating in a research note on Wednesday, November 12th. Compass Point reiterated a “buy” rating on shares of Robinhood Markets in a report on Monday, October 27th. Barclays cut their price target on shares of Robinhood Markets from $171.00 to $159.00 and set an “overweight” rating on the stock in a report on Thursday, January 8th. KeyCorp upped their price objective on shares of Robinhood Markets from $135.00 to $155.00 and gave the company an “overweight” rating in a research note on Friday, October 31st. Finally, Mizuho increased their target price on shares of Robinhood Markets from $145.00 to $172.00 and gave the stock an “outperform” rating in a report on Thursday, November 6th. Seventeen equities research 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. According to data from MarketBeat.com, Robinhood Markets has an average rating of “Moderate Buy” and an average target price of $131.82.

Robinhood Markets Trading Down 1.1%

Shares of NASDAQ:HOOD opened at $85.60 on Monday. The stock’s 50-day moving average price is $112.45 and its 200-day moving average price is $118.97. Robinhood Markets has a 12-month low of $29.66 and a 12-month high of $153.86. The stock has a market capitalization of $76.97 billion, a P/E ratio of 35.52, a price-to-earnings-growth ratio of 1.34 and a beta of 2.43.

Robinhood Markets (NASDAQ:HOOD) last released its earnings results on Tuesday, February 10th. The company reported $0.66 earnings per share for the quarter, beating analysts’ consensus estimates of $0.63 by $0.03. Robinhood Markets had a return on equity of 21.74% and a net margin of 52.19%.The company had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.32 billion. During the same quarter in the previous year, the company posted $1.01 EPS. Robinhood Markets’s revenue for the quarter was up 26.5% on a year-over-year basis. As a group, research analysts predict that Robinhood Markets will post 1.35 EPS for the current year.

Insider Transactions at Robinhood Markets

In other Robinhood Markets news, CTO Jeffrey Tsvi Pinner sold 5,864 shares of the company’s stock in a transaction that occurred on Monday, January 26th. The stock was sold at an average price of $107.48, for a total transaction of $630,262.72. Following the transaction, the chief technology officer owned 9,133 shares in the company, valued at approximately $981,614.84. This represents a 39.10% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible 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 stock was sold at an average price of $87.81, for a total value of $4,613,537.40. Following the completion of the transaction, the insider directly owned 27,564 shares of the company’s stock, valued at $2,420,394.84. This represents a 65.59% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 1,537,615 shares of company stock valued at $182,272,702. Insiders own 19.95% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Jennison Associates LLC purchased a new position in shares of Robinhood Markets in the 3rd quarter valued at approximately $322,823,000. New York Life Investment Management LLC purchased a new position in shares of Robinhood Markets in the third quarter worth $14,989,000. Allstate Corp acquired a new stake in shares of Robinhood Markets during the third quarter worth $3,860,000. Principal Financial Group Inc. grew its holdings in shares of Robinhood Markets by 909.9% during the third 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 during the last quarter. Finally, New Wave Wealth Advisors LLC increased its position in shares of Robinhood Markets by 479.4% in the 3rd quarter. New Wave Wealth Advisors LLC now owns 13,331 shares of the company’s stock valued at $1,909,000 after acquiring an additional 11,030 shares during the period. Hedge funds and other institutional investors own 93.27% of the company’s stock.

Robinhood Markets News Summary

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

• Positive Sentiment: Q4 EPS beat consensus — Robinhood reported $0.66 diluted EPS (vs. ~$0.58 consensus), showing continued profitability and topping estimates which supports near-term earnings confidence. Robinhood Q4 Tops Estimates (Zacks)
• Positive Sentiment: Record full‑year results — 2025 revenue hit ~$4.5B with record net deposits ($68B), 27M funded customers and 4.2M Gold subscribers, giving management runway to expand fee-bearing products and monetize customers. Q4 & Full‑Year Results (GlobeNewswire)
• Positive Sentiment: Product & strategic wins — Expansion of Prediction Markets, Rothera JV and the MIAXdx acquisition position Robinhood to create new, differentiated revenue streams beyond traditional P&L drivers. This is cited as a longer‑term catalyst by media/analysts. Prediction‑Market Lift (WSJ)
• Neutral Sentiment: Analyst reactions mixed but mostly constructive — Several firms raised/maintained bullish ratings and price targets (Wolfe, Cantor, others), providing potential upside support even after the pullback. Wolfe Upgrade
• Neutral Sentiment: CFO transition & buybacks — Shiv Verma named CFO (effective Feb 6) and the company resumed repurchases ($100M in Q4, $653M YTD), items investors will watch but are not immediate swing factors. CFO Transition & Buybacks
• Negative Sentiment: Revenue missed estimates — Q4 revenue of $1.28B missed Street estimates (~$1.32B); investors punished the stock on concern that growth quality is uneven despite strong headline metrics. Revenue Miss Coverage (Reuters)
• Negative Sentiment: Crypto revenue slump — Crypto revenue fell ~38% YoY and Robinhood app crypto volumes dropped sharply, which was flagged as the main driver of the negative after‑hours reaction and implies volatility in a meaningful revenue bucket. Crypto Decline (Proactive)
• Negative Sentiment: Margin/expense profile and guidance risks — Operating expenses rose (marketing, acquisitions) and 2026 expense guidance calls for continued investment, which could pressure near‑term margins despite higher adjusted EBITDA. Expense Outlook (GlobeNewswire)
• Negative Sentiment: Large insider selling flagged — Recent disclosures show extensive insider sales over the past 6 months, which some investors interpret as a negative signal on timing of further share issuance/sales. Insider Selling (QuiverQuant summary)

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.