Robinhood Markets (NASDAQ:HOOD) Trading Up 6.6% – Should You Buy?

Robinhood Markets, Inc. (NASDAQ:HOOD) rose 6.6% during trading on Friday . The company traded as high as $49.27 and last traded at $49.14. Approximately 20,504,745 shares changed hands during mid-day trading, an increase of 1% from the average daily volume of 20,298,822 shares. The stock had previously closed at $46.08.

Wall Street Analyst Weigh In

Several research firms have weighed in on HOOD. Piper Sandler upped their price target on Robinhood Markets from $36.00 to $42.00 and gave the stock an “overweight” rating in a research note on Monday, December 2nd. Morgan Stanley raised shares of Robinhood Markets from an “equal weight” rating to an “overweight” rating and raised their target price for the company from $24.00 to $55.00 in a research note on Monday, November 25th. Keefe, Bruyette & Woods boosted their price target on shares of Robinhood Markets from $24.00 to $38.00 and gave the stock a “market perform” rating in a research note on Friday, December 20th. KeyCorp lifted their target price on Robinhood Markets from $30.00 to $47.00 and gave the stock an “overweight” rating in a report on Thursday, December 5th. Finally, JMP Securities raised their price target on Robinhood Markets from $33.00 to $40.00 and gave the company a “market outperform” rating in a report on Tuesday, November 12th. Three analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $42.47.

Robinhood Markets Stock Performance

The company’s fifty day moving average price is $38.28 and its 200-day moving average price is $28.00. The stock has a market cap of $42.56 billion, a P/E ratio of 81.72, a price-to-earnings-growth ratio of 0.58 and a beta of 2.07.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings data on Wednesday, October 30th. The company reported $0.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.01). Robinhood Markets had a return on equity of 7.52% and a net margin of 21.80%. The firm had revenue of $637.00 million during the quarter, compared to the consensus estimate of $660.53 million. During the same period in the previous year, the business earned ($0.09) EPS. The firm’s revenue for the quarter was up 36.4% on a year-over-year basis. Analysts anticipate that Robinhood Markets, Inc. will post 0.91 earnings per share for the current fiscal year.

Insider Activity at Robinhood Markets

In other news, CTO Jeffrey Tsvi Pinner sold 5,876 shares of Robinhood Markets stock in a transaction that occurred on Monday, January 6th. The shares were sold at an average price of $42.64, for a total transaction of $250,552.64. Following the completion of the sale, the chief technology officer now owns 5,876 shares of the company’s stock, valued at approximately $250,552.64. The trade was a 50.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Steven M. Quirk sold 19,861 shares of the stock in a transaction that occurred on Sunday, December 1st. The stock was sold at an average price of $37.54, for a total value of $745,581.94. Following the completion of the transaction, the insider now directly owns 395,166 shares in the company, valued at approximately $14,834,531.64. This trade represents a 4.79 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 3,609,792 shares of company stock worth $136,247,178 in the last quarter. 19.95% of the stock is owned by company insiders.

Institutional Investors Weigh In On Robinhood Markets

Several hedge funds have recently made changes to their positions in HOOD. FMR LLC raised its holdings in shares of Robinhood Markets by 31.3% in the third quarter. FMR LLC now owns 14,129,544 shares of the company’s stock valued at $330,914,000 after acquiring an additional 3,368,118 shares in the last quarter. State Street Corp raised its holdings in shares of Robinhood Markets by 8.7% in the 3rd quarter. State Street Corp now owns 13,558,321 shares of the company’s stock valued at $317,536,000 after purchasing an additional 1,085,679 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Robinhood Markets by 19.5% in the 3rd quarter. Geode Capital Management LLC now owns 11,620,673 shares of the company’s stock worth $271,708,000 after purchasing an additional 1,895,427 shares during the period. Charles Schwab Investment Management Inc. lifted its position in shares of Robinhood Markets by 33.0% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 4,581,465 shares of the company’s stock worth $107,298,000 after purchasing an additional 1,137,677 shares during the period. Finally, Jacobs Levy Equity Management Inc. boosted its stake in shares of Robinhood Markets by 20.7% during the third quarter. Jacobs Levy Equity Management Inc. now owns 4,481,794 shares of the company’s stock valued at $104,964,000 after purchasing an additional 769,281 shares in the last quarter. 93.27% of the stock is currently owned by hedge funds and other institutional investors.

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.