Robinhood Markets (NASDAQ:HOOD) Upgraded by Wall Street Zen to Sell Rating

Robinhood Markets (NASDAQ:HOOD) was upgraded by stock analysts at Wall Street Zen from a “strong sell” rating to a “sell” rating in a research report issued on Saturday.

Several other analysts have also commented on the stock. Argus decreased their price target on shares of Robinhood Markets from $102.00 to $90.00 and set a “buy” rating for the company in a research report on Thursday, April 30th. Keefe, Bruyette & Woods decreased their price objective on shares of Robinhood Markets from $75.00 to $65.00 and set a “market perform” rating for the company in a research report on Wednesday, April 29th. New Street Research set a $122.00 target price on shares of Robinhood Markets in a research note on Thursday, March 5th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $110.00 target price on shares of Robinhood Markets in a research note on Tuesday. Finally, Mizuho lifted their target price on shares of Robinhood Markets from $110.00 to $115.00 and gave the stock an “outperform” rating in a research note on Friday, May 29th. Eighteen investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $110.73.

Robinhood Markets Stock Performance

HOOD stock opened at $93.19 on Friday. The firm has a market cap of $83.92 billion, a price-to-earnings ratio of 45.02, a PEG ratio of 2.31 and a beta of 2.35. The firm has a 50-day simple moving average of $80.09 and a two-hundred day simple moving average of $92.18. Robinhood Markets has a one year low of $63.51 and a one year high of $153.86.

Robinhood Markets (NASDAQ:HOOD) last released its quarterly 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 for the quarter, compared to analysts’ expectations of $1.14 billion. Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The business’s quarterly revenue was up 15.1% compared to the same quarter last year. During the same period in the previous year, the company posted $0.37 earnings per share. As a group, equities analysts predict that Robinhood Markets will post 1.83 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Steven M. Quirk sold 10,837 shares of Robinhood Markets stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $85.91, for a total transaction of $931,006.67. Following the completion of the transaction, the insider directly owned 81,989 shares of the company’s stock, valued at $7,043,674.99. The trade was a 11.67% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Meyer Malka bought 250,000 shares of the business’s stock in a transaction dated Friday, June 5th. The shares were purchased at an average cost of $80.74 per share, with a total value of $20,185,000.00. Following the completion of the acquisition, the director owned 3,924,427 shares in the company, valued at approximately $316,858,235.98. This represents a 6.80% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders bought 680,000 shares of company stock worth $55,306,560 and sold 571,602 shares worth $41,959,746. Company insiders own 14.47% of the company’s stock.

Hedge Funds Weigh In On Robinhood Markets

Several institutional investors have recently made changes to their positions in HOOD. Aberdeen Group plc increased its holdings in Robinhood Markets by 565.1% in the 3rd quarter. Aberdeen Group plc now owns 185,538 shares of the company’s stock worth $26,565,000 after acquiring an additional 157,643 shares in the last quarter. NEOS Investment Management LLC purchased a new stake in Robinhood Markets in the 3rd quarter worth $11,994,000. Truist Financial Corp increased its holdings in Robinhood Markets by 88.9% in the 4th quarter. Truist Financial Corp now owns 145,489 shares of the company’s stock worth $16,455,000 after acquiring an additional 68,458 shares in the last quarter. PNC Financial Services Group Inc. increased its holdings in Robinhood Markets by 86.2% in the 4th quarter. PNC Financial Services Group Inc. now owns 100,849 shares of the company’s stock worth $11,406,000 after acquiring an additional 46,688 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC increased its holdings in Robinhood Markets by 26.3% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 365,551 shares of the company’s stock worth $44,477,000 after acquiring an additional 76,075 shares in the last quarter. 93.27% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Robinhood Markets

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

• Positive Sentiment: Robinhood’s securities arm received approval to underwrite IPOs, potentially expanding revenue opportunities and giving the company a bigger role in future public offerings. Robinhood Just Won Approval to Underwrite IPOs, Right Before SpaceX’s Blockbuster Market Debut. Here’s Why the Timing Matters.
• Positive Sentiment: SpaceX’s IPO sparked “record-breaking” traffic on Robinhood’s platform, highlighting heavy retail engagement and the value of its IPO-access business. Robinhood sees ‘record-breaking’ traffic after SpaceX stock debuts
• Positive Sentiment: Needham raised its price target on Robinhood to $97 and reiterated a buy rating, adding to bullish sentiment around the stock. Benzinga report on Needham price target raise
• Neutral Sentiment: Robinhood saw unusual options activity, with traders buying a much larger-than-normal volume of call options, suggesting heightened speculation around the shares.
• Neutral Sentiment: The stock also benefited from a broader lift in financial stocks and related retail brokerage names during Friday’s session. Sector Update: Financial Stocks Advance Late Afternoon
• Negative Sentiment: Robinhood’s platform experienced trading issues amid the surge in SpaceX-related demand, which could raise concerns about reliability during peak activity. HOOD Stock: Robinhood Buckles Under SpaceX IPO Demand, Users Report Trading Issues
• Negative Sentiment: ARK Invest reportedly sold shares of Robinhood, which may temper enthusiasm for some investors. HOOD Stock Gains Overnight: Cathie Wood’s ARK Sells Shares Even As Robinhood Stacks Up Fresh Catalysts

About Robinhood Markets

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.