Robinhood Markets (NASDAQ:HOOD) Shares Down 3% Following Analyst Downgrade

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price dropped 3% during mid-day trading on Thursday after The Goldman Sachs Group lowered their price target on the stock from $102.00 to $91.00. The Goldman Sachs Group currently has a buy rating on the stock. Robinhood Markets traded as low as $69.70 and last traded at $70.35. Approximately 21,146,561 shares changed hands during trading, a decline of 28% from the average daily volume of 29,412,557 shares. The stock had previously closed at $72.54.

Other equities research analysts also recently issued reports about the stock. Citizens Jmp reissued a “market outperform” rating and issued a $180.00 price target on shares of Robinhood Markets in a research note on Wednesday, February 11th. Piper Sandler decreased their price target on Robinhood Markets from $155.00 to $135.00 and set an “overweight” rating on the stock in a research note on Wednesday, February 11th. Wolfe Research raised Robinhood Markets from a “peer perform” rating to an “outperform” rating and set a $125.00 price objective for the company in a research note on Monday, February 9th. Wall Street Zen lowered Robinhood Markets from a “hold” rating to a “sell” rating in a research note on Saturday, February 14th. Finally, Argus began coverage on Robinhood Markets in a research report on Friday, January 9th. They issued a “buy” rating and a $145.00 target price for the company. Eighteen analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $117.48.

Insider Buying and Selling

In other Robinhood Markets news, CEO Vladimir Tenev sold 375,000 shares of the company’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 filing with the SEC, which is available at the SEC website. Also, insider Steven M. Quirk sold 52,540 shares of Robinhood Markets stock in a transaction dated 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 completion of the transaction, the insider owned 27,564 shares of the company’s stock, valued at $2,420,394.84. The trade was a 65.59% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 469,268 shares of company stock valued at $54,409,454. Company insiders own 14.47% of the company’s stock.

Robinhood Markets News Roundup

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

• Positive Sentiment: Board authorized a $1.5 billion open‑ended Class A share repurchase, backed by a $3.25 billion revolving credit facility — management is signaling capital‑allocation flexibility and balance‑sheet confidence, which supported earlier upside. Is Robinhood (HOOD) Using Its New Buyback to Redefine Capital Allocation Priorities?
• Positive Sentiment: Jefferies initiated coverage with a Buy and a ~$88 price target, citing a path to a broader “financial super app” — adds institutional support to the bullish case. Jefferies initiates Robinhood at Buy, citing path to ‘financial super app’
• Positive Sentiment: BofA reiterated a Buy following product launches and the company’s “Take Flight” event — reinforces growth narrative beyond trading/crypto. BofA Reaffirms Buy on Robinhood (HOOD) After Product Launches
• Neutral Sentiment: Pieces comparing long‑term returns for early IPO investors (Coinbase vs Robinhood) are background context for sentiment but don’t change near‑term fundamentals. Had You Invested $1,000 in Coinbase or Robinhood IPOs, Here’s What You’d Have Today
• Neutral Sentiment: Management interviews and commentary on retail client behavior (crypto exposure, product adoption) provide color on user dynamics but are not immediate catalysts. Our retail traders are likely lagging S&P due to crypto holdings, says Robinhood’s Steve Quirk
• Negative Sentiment: Some investors view the buyback as underwhelming or poorly timed; a headline piece lays out three reasons the market “is not impressed,” which directly coincided with the intraday pullback. This is the primary near‑term driver of the stock weakness. Robinhood Slides 6%: 3 Reasons the Market Is Not Impressed by the Buyback
• Negative Sentiment: Valuation concerns: analysis points out HOOD trades at a premium to peers on price/tangible book, leaving the stock vulnerable if growth disappoints. Is Robinhood’s Premium Valuation Backed by Fundamentals or Hype?
• Negative Sentiment: Goldman trimmed its price target (from $102 to $91) — still a Buy but a lower upside anchor that can sap momentum. Goldman Sachs lowers Robinhood price target

Hedge Funds Weigh In On Robinhood Markets

Several large investors have recently bought and sold shares of the business. Valley National Advisers Inc. boosted its position in shares of Robinhood Markets by 113.6% during the 3rd quarter. Valley National Advisers Inc. now owns 188 shares of the company’s stock worth $26,000 after acquiring an additional 100 shares in the last quarter. Sound Income Strategies LLC increased its stake in Robinhood Markets by 152.6% in the fourth quarter. Sound Income Strategies LLC now owns 240 shares of the company’s stock valued at $26,000 after purchasing an additional 145 shares during the last quarter. CYBER HORNET ETFs LLC raised its holdings in Robinhood Markets by 527.8% during the fourth quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company’s stock worth $26,000 after purchasing an additional 190 shares in the last quarter. Golden State Wealth Management LLC lifted its position in shares of Robinhood Markets by 107.6% during the 3rd quarter. Golden State Wealth Management LLC now owns 191 shares of the company’s stock worth $27,000 after buying an additional 99 shares during the last quarter. Finally, Elyxium Wealth LLC acquired a new position in shares of Robinhood Markets in the 4th quarter valued at $27,000. Hedge funds and other institutional investors own 93.27% of the company’s stock.

Robinhood Markets Stock Performance

The stock’s 50-day moving average is $82.41 and its 200 day moving average is $111.51. The stock has a market capitalization of $59.44 billion, a PE ratio of 32.05, a P/E/G ratio of 1.59 and a beta of 2.47.

Robinhood Markets (NASDAQ:HOOD) last released its quarterly earnings data on Tuesday, February 10th. The company reported $0.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.63 by $0.03. Robinhood Markets had a net margin of 42.10% and a return on equity of 22.32%. The company had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.32 billion. During the same quarter in the prior year, the firm posted $1.01 earnings per share. Robinhood Markets’s revenue for the quarter was up 26.5% on a year-over-year basis. Analysts expect that Robinhood Markets, Inc. will post 1.35 earnings per share for the current 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.