Robinhood Markets (NASDAQ:HOOD) Shares Up 6.1% – Still a Buy?

Robinhood Markets, Inc. (NASDAQ:HOOD)’s share price was up 6.1% during mid-day trading on Wednesday . The company traded as high as $134.34 and last traded at $133.64. Approximately 24,882,850 shares traded hands during trading, a decline of 37% from the average daily volume of 39,648,648 shares. The stock had previously closed at $125.95.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the stock. Citigroup raised 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. Mizuho lifted their price objective on Robinhood Markets from $145.00 to $172.00 and gave the stock an “outperform” rating in a research note on Thursday, November 6th. Dbs Bank raised Robinhood Markets to a “moderate buy” rating in a research report on Wednesday, November 12th. Piper Sandler reaffirmed an “overweight” rating on shares of Robinhood Markets in a report on Wednesday, November 26th. Finally, Zacks Research upgraded shares of Robinhood Markets from a “hold” rating to a “strong-buy” rating in a research note on Friday, November 28th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Robinhood Markets presently has a consensus rating of “Moderate Buy” and an average target price of $136.95.

Robinhood Markets Stock Performance

The firm has a market capitalization of $118.65 billion, a price-to-earnings ratio of 54.75, a price-to-earnings-growth ratio of 3.08 and a beta of 2.43. The firm’s 50-day moving average price is $133.29 and its two-hundred day moving average price is $109.43.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings results on Wednesday, November 5th. The company reported $0.61 EPS for the quarter, topping 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 firm had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.15 billion. During the same quarter last year, the company earned $0.17 earnings per share. The company’s revenue for the quarter was up 100.0% compared to the same quarter last year. As a group, equities research analysts anticipate that Robinhood Markets, Inc. will post 1.35 EPS for the current year.

Insider Activity

In other Robinhood Markets news, Director Baiju Bhatt sold 1,330,000 shares of the company’s stock in a transaction dated Friday, November 7th. The shares were sold at an average price of $128.47, for a total transaction of $170,865,100.00. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Daniel Martin Gallagher, Jr. sold 120,000 shares of Robinhood Markets stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $132.13, for a total transaction of $15,855,600.00. Following the completion of the transaction, the insider owned 430,012 shares of the company’s stock, valued at $56,817,485.56. This trade represents a 21.82% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 4,099,236 shares of company stock valued at $525,040,481. Company insiders own 14.47% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. raised its holdings in Robinhood Markets by 24.9% during the 3rd quarter. Vanguard Group Inc. now owns 94,437,054 shares of the company’s stock worth $13,521,497,000 after purchasing an additional 18,824,923 shares during the last quarter. State Street Corp lifted its stake 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 valued at $4,617,004,000 after purchasing an additional 16,375,734 shares during the period. WCM Investment Management LLC grew its stake in shares of Robinhood Markets by 3,615.7% during the second 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 during the period. Norges Bank bought a new stake in Robinhood Markets in the second quarter valued at about $973,122,000. Finally, Kingstone Capital Partners Texas LLC bought a new stake in Robinhood Markets in the second quarter valued at about $951,479,000. Institutional investors and hedge funds own 93.27% of the company’s stock.

Robinhood Markets Company Profile

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.