Robinhood Markets (NASDAQ:HOOD) Shares Up 1% on Analyst Upgrade

Robinhood Markets, Inc. (NASDAQ:HOOD)’s share price was up 1% during mid-day trading on Friday after Needham & Company LLC raised their price target on the stock from $85.00 to $97.00. Needham & Company LLC currently has a buy rating on the stock. Robinhood Markets traded as high as $96.10 and last traded at $93.19. Approximately 32,873,844 shares traded hands during mid-day trading, an increase of 10% from the average daily volume of 29,969,486 shares. The stock had previously closed at $92.23.

A number of other equities research analysts have also recently issued reports on HOOD. JPMorgan Chase & Co. reduced their target price on shares of Robinhood Markets from $113.00 to $92.00 and set a “neutral” rating for the company in a research report on Thursday, April 23rd. The Goldman Sachs Group boosted their target price on shares of Robinhood Markets from $95.00 to $105.00 and gave the company a “buy” rating in a research report on Thursday, June 4th. KeyCorp reissued an “overweight” rating and issued a $100.00 target price on shares of Robinhood Markets in a research report on Monday, June 1st. Loop Capital set a $94.00 price objective on shares of Robinhood Markets in a research note on Wednesday, May 27th. Finally, Zacks Research upgraded shares of Robinhood Markets from a “strong sell” rating to a “hold” rating in a research note on Monday. Eighteen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $110.73.

Insider Activity

In other Robinhood Markets news, insider Daniel Martin Gallagher, Jr. sold 10,000 shares of the stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $83.68, for a total transaction of $836,800.00. Following the sale, the insider directly owned 481,396 shares in the company, valued at $40,283,217.28. This represents a 2.04% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Baiju Bhatt sold 67,422 shares of the stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $75.38, for a total transaction of $5,082,270.36. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders acquired 680,000 shares of company stock valued at $55,306,560 and sold 571,602 shares valued at $41,959,746. Corporate insiders own 14.47% of the company’s stock.

Key Robinhood Markets News

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

• Positive Sentiment: Robinhood’s approval to act as an IPO underwriter expands its business model and could deepen customer engagement by offering bigger IPO allocations and more fee opportunities.
• Positive Sentiment: Robinhood reported “record-breaking” platform traffic after SpaceX’s debut, suggesting strong retail demand and potentially higher trading volume on the platform. Article Title
• Positive Sentiment: Unusual options activity leaned bullish, with traders buying a large amount of call options, signaling expectations for continued upside in HOOD.
• Neutral Sentiment: Analysts and market commentary continue to frame Robinhood as a major beneficiary of rising retail interest in IPOs, though the near-term earnings impact from underwriting alone may be limited.
• Negative Sentiment: ARK Invest reportedly sold shares of Robinhood this week, which may temper enthusiasm at the margin even as other catalysts remain stronger.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. lifted its holdings in shares of Robinhood Markets by 1.4% in the fourth quarter. Vanguard Group Inc. now owns 95,771,497 shares of the company’s stock worth $10,831,756,000 after acquiring an additional 1,334,443 shares during the last quarter. State Street Corp lifted its holdings in shares of Robinhood Markets by 2.7% in the fourth quarter. State Street Corp now owns 33,121,452 shares of the company’s stock worth $3,746,036,000 after acquiring an additional 875,297 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of Robinhood Markets by 1.7% in the fourth quarter. Geode Capital Management LLC now owns 21,171,925 shares of the company’s stock worth $2,386,944,000 after acquiring an additional 356,902 shares during the last quarter. Morgan Stanley lifted its holdings in shares of Robinhood Markets by 23.9% in the fourth quarter. Morgan Stanley now owns 10,683,776 shares of the company’s stock worth $1,208,335,000 after acquiring an additional 2,061,832 shares during the last quarter. Finally, Norges Bank bought a new position in shares of Robinhood Markets in the fourth quarter worth about $1,202,160,000. Institutional investors own 93.27% of the company’s stock.

Robinhood Markets Price Performance

The stock has a market cap of $83.92 billion, a P/E ratio of 45.02, a PEG ratio of 2.16 and a beta of 2.35. The business’s fifty day moving average price is $79.63 and its 200 day moving average price is $92.17.

Robinhood Markets (NASDAQ:HOOD) last posted its earnings results on Tuesday, April 28th. The company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). The company had revenue of $1.07 billion during the quarter, compared to the consensus estimate of $1.14 billion. Robinhood Markets had a return on equity of 21.39% and a net margin of 41.12%.The firm’s revenue was up 15.1% compared to the same quarter last year. During the same period last year, the company posted $0.37 EPS. On average, analysts predict that Robinhood Markets, Inc. will post 1.83 earnings per share for the current fiscal year.

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.