Robinhood Markets (NASDAQ:HOOD) Trading 3.4% Higher – Should You Buy?

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price rose 3.4% during trading on Monday . The company traded as high as $138.09 and last traded at $136.43. Approximately 22,397,608 shares were traded during trading, a decline of 43% from the average daily volume of 39,419,355 shares. The stock had previously closed at $131.95.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on HOOD shares. JMP Securities raised their price objective on Robinhood Markets from $130.00 to $170.00 and gave the stock a “market outperform” rating in a research note on Thursday, October 9th. Barclays upped their target price on Robinhood Markets from $162.00 to $168.00 and gave the company an “overweight” rating in a report on Thursday, November 6th. The Goldman Sachs Group lifted their price target on Robinhood Markets from $134.00 to $152.00 and gave the stock a “buy” rating in a research note on Tuesday, September 30th. CICC Research initiated coverage on Robinhood Markets in a report on Monday, October 27th. They set an “outperform” rating and a $155.00 price objective on the stock. Finally, Piper Sandler reaffirmed an “overweight” rating on shares of Robinhood Markets in a research note on Wednesday, November 26th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $136.95.

Robinhood Markets Stock Performance

The stock has a market cap of $122.68 billion, a price-to-earnings ratio of 56.61, a price-to-earnings-growth ratio of 2.97 and a beta of 2.43. The company’s 50 day simple moving average is $133.29 and its two-hundred day simple moving average is $110.06.

Robinhood Markets (NASDAQ:HOOD) last issued its earnings results on Wednesday, November 5th. The company reported $0.61 earnings per share (EPS) 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 company had revenue of $1.27 billion during the quarter, compared to analyst estimates of $1.15 billion. During the same quarter last year, the business posted $0.17 EPS. The company’s revenue for the quarter was up 100.0% on a year-over-year basis. On average, equities research analysts predict that Robinhood Markets, Inc. will post 1.35 earnings per share for the current fiscal year.

Insider Transactions at Robinhood Markets

In other news, insider Steven M. Quirk sold 49,942 shares of Robinhood Markets stock in a transaction dated Wednesday, December 3rd. The stock was sold at an average price of $131.15, for a total transaction of $6,549,893.30. Following the completion of the sale, the insider directly owned 54,496 shares in the company, valued at $7,147,150.40. The trade was a 47.82% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Daniel Martin Gallagher, Jr. sold 120,000 shares of the business’s stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $132.13, for a total value of $15,855,600.00. Following the completion of the sale, the insider directly owned 430,012 shares of the company’s stock, valued at approximately $56,817,485.56. The trade was a 21.82% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 4,099,236 shares of company stock worth $525,040,481. 14.47% of the stock is owned by company insiders.

Institutional Trading of Robinhood Markets

Institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its holdings in shares of Robinhood Markets by 24.9% during the 3rd quarter. Vanguard Group Inc. now owns 94,437,054 shares of the company’s stock valued at $13,521,497,000 after purchasing an additional 18,824,923 shares in the last quarter. State Street Corp boosted its holdings in Robinhood Markets by 103.2% in the third quarter. State Street Corp now owns 32,246,155 shares of the company’s stock worth $4,617,004,000 after purchasing an additional 16,375,734 shares in the last quarter. Geode Capital Management LLC increased its position in Robinhood Markets by 4.0% during the second quarter. Geode Capital Management LLC now owns 13,176,539 shares of the company’s stock worth $1,233,840,000 after buying an additional 507,926 shares during the last quarter. WCM Investment Management LLC raised its holdings in 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 valued at $1,081,910,000 after buying an additional 11,244,182 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of Robinhood Markets in the second quarter worth about $973,122,000. 93.27% of the stock is currently owned by institutional investors and hedge funds.

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.