Robinhood Markets (NASDAQ:HOOD) Shares Up 2.9% – Should You Buy?

Shares of Robinhood Markets, Inc. (NASDAQ:HOOD) shot up 2.9% during mid-day trading on Monday . The stock traded as high as $79.65 and last traded at $79.35. 24,541,336 shares were traded during mid-day trading, a decline of 20% from the average session volume of 30,571,977 shares. The stock had previously closed at $77.09.

Analyst Ratings Changes

A number of research firms have weighed in on HOOD. Sanford C. Bernstein reiterated an “outperform” rating on shares of Robinhood Markets in a research note on Wednesday, February 11th. Cantor Fitzgerald decreased their price target on Robinhood Markets from $130.00 to $100.00 and set an “overweight” rating for the company in a report on Tuesday, February 17th. The Goldman Sachs Group dropped their price objective on shares of Robinhood Markets from $152.00 to $130.00 and set a “buy” rating on the stock in a research note on Wednesday, February 11th. Needham & Company LLC lowered their target price on shares of Robinhood Markets from $135.00 to $100.00 and set a “buy” rating on the stock in a report on Wednesday, February 11th. Finally, Morgan Stanley increased their price target on shares of Robinhood Markets from $146.00 to $147.00 and gave the stock an “equal weight” rating in a report on Monday, December 22nd. Seventeen analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Robinhood Markets currently has a consensus rating of “Moderate Buy” and an average target price of $121.73.

Robinhood Markets Price Performance

The company has a market capitalization of $71.44 billion, a price-to-earnings ratio of 38.52, a price-to-earnings-growth ratio of 1.59 and a beta of 2.47. The firm’s 50-day simple moving average is $95.09 and its two-hundred day simple moving average is $114.92.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings results on Tuesday, February 10th. The company reported $0.66 EPS for the quarter, topping the consensus estimate of $0.63 by $0.03. The business had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.32 billion. Robinhood Markets had a return on equity of 22.32% and a net margin of 42.10%.The company’s quarterly revenue was up 26.5% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.01 EPS. On average, analysts expect that Robinhood Markets, Inc. will post 1.35 EPS for the current fiscal year.

Insider Activity at Robinhood Markets

In other Robinhood Markets news, CTO Jeffrey Tsvi Pinner sold 5,864 shares of Robinhood Markets stock in a transaction on Monday, January 26th. The shares were sold at an average price of $107.48, for a total value of $630,262.72. Following the transaction, the chief technology officer owned 9,133 shares in the company, valued at $981,614.84. This trade represents a 39.10% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 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 sold a total of 475,132 shares of company stock valued at $55,127,149 over the last three months. Insiders own 14.47% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Caisse Des Depots ET Consignations purchased a new position in Robinhood Markets in the 3rd quarter valued at about $3,984,000. Aberdeen Group plc lifted its stake in shares of Robinhood Markets by 565.1% in the third quarter. Aberdeen Group plc now owns 185,538 shares of the company’s stock worth $26,565,000 after acquiring an additional 157,643 shares in the last quarter. Jennison Associates LLC purchased a new position in Robinhood Markets in the third quarter valued at about $322,823,000. New York Life Investment Management LLC purchased a new position in Robinhood Markets in the third quarter valued at about $14,989,000. Finally, NEOS Investment Management LLC acquired a new stake in Robinhood Markets during the 3rd quarter valued at approximately $11,994,000. Institutional investors and hedge funds own 93.27% of the company’s stock.

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.