Robinhood Markets (NASDAQ:HOOD) Stock Price Up 5.6% – Time to Buy?

Robinhood Markets, Inc. (NASDAQ:HOOD)’s share price traded up 5.6% during trading on Friday . The stock traded as high as $99.44 and last traded at $98.69. 44,320,551 shares changed hands during mid-day trading, an increase of 45% from the average daily volume of 30,597,084 shares. The stock had previously closed at $93.47.

More Robinhood Markets News

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

• Positive Sentiment: BTIG initiated coverage on Robinhood with a Buy rating and a $125 price target, arguing the company has a long runway for asset growth, product expansion, and deeper customer engagement as younger investors accumulate more wealth. Article Title
• Positive Sentiment: Robinhood closed its $2.2 billion offering of 0.00% convertible senior notes due 2029, saying the deal boosts strategic flexibility and includes capped calls and share repurchases intended to limit dilution for shareholders. Article Title
• Positive Sentiment: Robinhood is also getting attention for product and subscriber-growth initiatives, including promotions aimed at boosting its Gold user base, which supports the case for expanding recurring revenue. Article Title
• Neutral Sentiment: Market chatter showed Robinhood traders piling into the REX FANG & Innovation Equity Premium Income ETF (FEPI), reflecting strong retail interest on the platform but not directly changing Robinhood’s fundamentals. Article Title
• Negative Sentiment: Earlier weakness came after reports that Meta Platforms is developing a competing prediction-markets app, which raised competitive concerns for one of Robinhood’s newer growth areas. Article Title

Wall Street Analyst Weigh In

HOOD has been the topic of several research reports. Argus boosted their price target on Robinhood Markets from $90.00 to $110.00 and gave the stock a “buy” rating in a report on Wednesday, June 17th. Citigroup reiterated a “market outperform” rating on shares of Robinhood Markets in a research report on Thursday, May 28th. Keefe, Bruyette & Woods reduced their target price on shares of Robinhood Markets from $75.00 to $65.00 and set a “market perform” rating on the stock in a report on Wednesday, April 29th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Robinhood Markets in a research note on Wednesday. Finally, Cantor Fitzgerald reiterated an “overweight” rating and set a $110.00 price target on shares of Robinhood Markets in a report on Tuesday, June 9th. Nineteen equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $112.91.

Robinhood Markets Price Performance

The company has a market capitalization of $88.87 billion, a P/E ratio of 47.68, a P/E/G ratio of 1.79 and a beta of 2.35. The stock has a 50-day moving average price of $85.63 and a 200-day moving average price of $90.35.

Robinhood Markets (NASDAQ:HOOD) last announced its 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 company had revenue of $1.07 billion during the quarter, compared to the consensus estimate of $1.14 billion. Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The business’s revenue was up 15.1% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.37 earnings per share. Sell-side analysts anticipate that Robinhood Markets, Inc. will post 1.8 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Meyer Malka acquired 250,000 shares of the firm’s stock in a transaction dated Friday, June 5th. The stock was bought at an average cost of $80.74 per share, for a total transaction of $20,185,000.00. Following the completion of the transaction, the director directly owned 3,924,427 shares in the company, valued at $316,858,235.98. This represents a 6.80% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, insider Daniel Martin Gallagher, Jr. sold 10,000 shares of Robinhood Markets stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $83.68, for a total transaction of $836,800.00. Following the transaction, the insider directly owned 481,396 shares of the company’s stock, valued at $40,283,217.28. This represents a 2.04% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders purchased 680,000 shares of company stock worth $55,306,560 and sold 633,484 shares worth $47,542,923. Company insiders own 14.47% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. CYBER HORNET ETFs LLC boosted its position in shares of Robinhood Markets by 527.8% during the 4th quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company’s stock valued at $26,000 after purchasing an additional 190 shares in the last quarter. MV Capital Management Inc. acquired a new position in Robinhood Markets in the fourth quarter valued at approximately $27,000. Swiss RE Ltd. acquired a new position in Robinhood Markets in the fourth quarter valued at approximately $27,000. Elyxium Wealth LLC bought a new position in shares of Robinhood Markets during the 4th quarter worth approximately $27,000. Finally, Sound Income Strategies LLC grew its position in shares of Robinhood Markets by 152.6% during the 4th quarter. Sound Income Strategies LLC now owns 240 shares of the company’s stock worth $26,000 after buying an additional 145 shares during the period. 93.27% of the stock is owned by institutional investors and hedge funds.

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.