Robinhood Markets (NASDAQ:HOOD) Rating Lowered to Hold at Zacks Research

Robinhood Markets (NASDAQ:HOOD) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Tuesday,Zacks.com reports.

Several other equities research analysts also recently issued reports on the company. Piper Sandler reaffirmed an “overweight” rating on shares of Robinhood Markets in a research report on Monday. The Goldman Sachs Group restated a “buy” rating on shares of Robinhood Markets in a research note on Monday. Morgan Stanley raised their target price on Robinhood Markets from $146.00 to $147.00 and gave the company an “equal weight” rating in a report on Monday, December 22nd. Needham & Company LLC cut their price target on Robinhood Markets from $145.00 to $135.00 and set a “buy” rating for the company in a report on Monday, December 29th. Finally, Mizuho increased their price objective on Robinhood Markets from $145.00 to $172.00 and gave the company an “outperform” rating in a research report on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Robinhood Markets currently has an average rating of “Moderate Buy” and a consensus price target of $136.80.

Robinhood Markets Stock Down 3.9%

NASDAQ:HOOD opened at $116.97 on Tuesday. The company’s 50 day moving average is $124.40 and its 200-day moving average is $117.77. Robinhood Markets has a 12 month low of $29.66 and a 12 month high of $153.86. The firm has a market cap of $105.18 billion, a price-to-earnings ratio of 48.54, a P/E/G ratio of 1.84 and a beta of 2.44.

Robinhood Markets (NASDAQ:HOOD) last posted its earnings results on Wednesday, November 5th. The company reported $0.61 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.41 by $0.20. The business had revenue of $1.27 billion for the quarter, compared to analyst estimates of $1.15 billion. Robinhood Markets had a net margin of 52.19% and a return on equity of 21.74%. Robinhood Markets’s revenue was up 100.0% compared to the same quarter last year. During the same period last year, the business posted $0.17 EPS. Research analysts predict that Robinhood Markets will post 1.35 EPS for the current fiscal year.

Insider Activity at Robinhood Markets

In related news, insider Steven M. Quirk sold 49,942 shares of the firm’s stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $131.15, for a total value of $6,549,893.30. Following the completion of the transaction, the insider directly owned 54,496 shares of the company’s stock, valued at $7,147,150.40. This trade represents a 47.82% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Vladimir Tenev sold 375,000 shares of the business’s stock in a transaction on Monday, January 5th. The shares were sold at an average price of $121.63, for a total transaction of $45,611,250.00. The SEC filing for this sale provides additional information. Insiders have sold 3,296,763 shares of company stock worth $414,016,996 in the last three months. Company insiders own 14.47% of the company’s stock.

Hedge Funds Weigh In On Robinhood Markets

A number of hedge funds and other institutional investors have recently made changes to their positions in HOOD. Vanguard Group Inc. lifted its holdings in shares of Robinhood Markets by 24.9% during the third quarter. Vanguard Group Inc. now owns 94,437,054 shares of the company’s stock valued at $13,521,497,000 after acquiring an additional 18,824,923 shares during the period. State Street Corp grew its holdings in shares of Robinhood Markets by 103.2% in the 3rd quarter. State Street Corp now owns 32,246,155 shares of the company’s stock worth $4,617,004,000 after purchasing an additional 16,375,734 shares during the last quarter. WCM Investment Management LLC increased its position in shares of Robinhood Markets by 3,615.7% during the 2nd quarter. WCM Investment Management LLC now owns 11,555,160 shares of the company’s stock worth $1,081,910,000 after purchasing an additional 11,244,182 shares in the last quarter. Norges Bank bought a new position in Robinhood Markets during the 2nd quarter valued at about $973,122,000. Finally, Kingstone Capital Partners Texas LLC bought a new position in Robinhood Markets during the 2nd quarter valued at about $951,479,000. 93.27% of the stock is owned by institutional investors.

Key Headlines Impacting Robinhood Markets

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

• Positive Sentiment: Zacks includes HOOD among “momentum” stocks to buy for January, signaling continued analyst interest in the name that can attract short‑term flows and momentum traders. 5 Momentum Stocks to Buy for January After a Mixed December
• Positive Sentiment: A separate Zacks piece highlights HOOD as one of a few “crypto‑centric” stocks that could benefit from a Bitcoin rebound, reinforcing the view that Robinhood’s crypto trading exposure is a potential upside driver. 3 Crypto-Centric Stocks to Boost Your Portfolio Before Next Bitcoin Rally
• Positive Sentiment: Trading data reported by Proactive shows Robinhood UK customers concentrated buys in AI, crypto and space names in December and lists Robinhood Markets among the most‑bought stocks, a sign of continued retail engagement on the platform. AI, crypto and space stocks dominate Robinhood UK buying in December
• Neutral Sentiment: Market recap coverage notes HOOD has recently dipped versus the broader market, providing context that part of the move may be market/flow driven rather than company‑specific news. Robinhood Markets, Inc. (HOOD) Stock Dips While Market Gains: Key Facts
• Negative Sentiment: Native American groups have escalated a legal fight involving Robinhood and Kalshi, increasing litigation and regulatory risk which could weigh on investor sentiment and potentially create financial or operational uncertainty. Native American groups escalate legal fight against Robinhood, Kalshi – report
• Negative Sentiment: Significant insider selling was disclosed (CEO Vladimir Tenev sold 375,000 shares; CTO Jeffrey Tsvi Pinner sold 5,864 shares; insider Daniel Gallagher Jr. sold 10,000 shares). Large, concurrent insider sales—especially by the CEO—can amplify downward pressure and signal to some investors a desire to reduce exposure. SEC/filing links: Tenev Form 4 Pinner Form 4 Gallagher Form 4

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.