Robinhood Markets (NASDAQ:HOOD) Shares Down 1.4% – Should You Sell?

Shares of Robinhood Markets, Inc. (NASDAQ:HOOD) traded down 1.4% on Tuesday . The company traded as low as $112.35 and last traded at $114.30. 28,416,219 shares changed hands during trading, a decline of 29% from the average session volume of 40,074,145 shares. The stock had previously closed at $115.97.

Wall Street Analyst Weigh In

HOOD has been the topic of a number of recent analyst reports. CICC Research started coverage on shares of Robinhood Markets in a report on Monday, October 27th. They issued an “outperform” rating and a $155.00 price target on the stock. Mizuho boosted their price target on Robinhood Markets from $145.00 to $172.00 and gave the company an “outperform” rating in a research note on Thursday, November 6th. Compass Point reaffirmed a “buy” rating on shares of Robinhood Markets in a research report on Monday, October 27th. Citigroup boosted their target price on shares of Robinhood Markets from $120.00 to $135.00 and gave the company a “neutral” rating in a research note on Tuesday, September 23rd. Finally, Dbs Bank upgraded Robinhood Markets to a “moderate buy” rating in a research report on Wednesday, November 12th. Fifteen analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Robinhood Markets currently has a consensus rating of “Moderate Buy” and a consensus price target of $132.65.

Robinhood Markets Stock Performance

The business has a 50 day simple moving average of $132.78 and a 200-day simple moving average of $103.64. The firm has a market capitalization of $102.78 billion, a price-to-earnings ratio of 47.43, a P/E/G ratio of 2.80 and a beta of 2.42.

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

Insider Activity

In other news, Director Meyer Malka sold 1,093,288 shares of the firm’s stock in a transaction that occurred on Thursday, August 28th. The shares were sold at an average price of $103.87, for a total transaction of $113,559,824.56. Following the transaction, the director directly owned 3,976,234 shares in the company, valued at approximately $413,011,425.58. This trade represents a 21.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Daniel Martin Gallagher, Jr. sold 25,000 shares of the company’s stock in a transaction that occurred on Friday, October 3rd. The shares were sold at an average price of $148.34, for a total value of $3,708,500.00. Following the sale, the insider directly owned 565,949 shares of the company’s stock, valued at approximately $83,952,874.66. This represents a 4.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 4,297,404 shares of company stock valued at $529,026,559. Insiders own 19.95% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

Several institutional investors have recently made changes to their positions in the stock. Hantz Financial Services Inc. boosted its position in shares of Robinhood Markets by 120.3% in the 2nd quarter. Hantz Financial Services Inc. now owns 271 shares of the company’s stock worth $25,000 after buying an additional 148 shares in the last quarter. Hemington Wealth Management lifted its holdings in shares of Robinhood Markets by 52.2% in the first quarter. Hemington Wealth Management now owns 636 shares of the company’s stock valued at $26,000 after purchasing an additional 218 shares in the last quarter. Valley National Advisers Inc. grew its position in shares of Robinhood Markets by 113.6% in the third quarter. Valley National Advisers Inc. now owns 188 shares of the company’s stock valued at $26,000 after purchasing an additional 100 shares during the last quarter. Golden State Wealth Management LLC grew its position in shares of Robinhood Markets by 107.6% in the third quarter. Golden State Wealth Management LLC now owns 191 shares of the company’s stock valued at $27,000 after purchasing an additional 99 shares during the last quarter. Finally, Smithfield Trust Co purchased a new position in shares of Robinhood Markets during the 2nd quarter worth approximately $29,000. 93.27% of the stock is currently owned by hedge funds and other institutional investors.

About Robinhood Markets

Robinhood Markets, Inc operates financial services platform in the United States. Its platform allows users to invest in stocks, exchange-traded funds (ETFs), American depository receipts, options, gold, and cryptocurrencies. The company offers fractional trading, recurring investments, fully-paid securities lending, access to investing on margin, cash sweep, instant withdrawals, retirement program, around-the-clock trading, and initial public offerings participation services.