Robinhood Markets (NASDAQ:HOOD) Trading Up 5.5% – Should You Buy?

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price shot up 5.5% during trading on Wednesday . The company traded as high as $39.59 and last traded at $39.58. 10,144,491 shares changed hands during mid-day trading, a decline of 41% from the average session volume of 17,069,357 shares. The stock had previously closed at $37.50.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on HOOD shares. Deutsche Bank Aktiengesellschaft raised their price objective on shares of Robinhood Markets from $36.00 to $42.00 and gave the company a “buy” rating in a research report on Thursday, December 5th. JMP Securities raised their price target on shares of Robinhood Markets from $33.00 to $40.00 and gave the company a “market outperform” rating in a report on Tuesday, November 12th. Keefe, Bruyette & Woods upped their price objective on shares of Robinhood Markets from $24.00 to $38.00 and gave the stock a “market perform” rating in a report on Friday, December 20th. Morgan Stanley upgraded 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 report on Monday, November 25th. Finally, Citigroup upped their price target on Robinhood Markets from $19.00 to $23.00 and gave the stock a “neutral” rating in a research note on Friday, September 27th. One equities research analyst has rated the stock with a sell rating, two have assigned a hold rating and twelve have assigned a buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $39.20.

Robinhood Markets Stock Up 2.0 %

The firm has a market cap of $35.69 billion, a P/E ratio of 68.44, a price-to-earnings-growth ratio of 0.76 and a beta of 2.09. The stock’s 50-day moving average is $34.11 and its 200-day moving average is $26.10.

Robinhood Markets (NASDAQ:HOOD) last posted its quarterly earnings results 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 company had revenue of $637.00 million during the quarter, compared to analyst estimates of $660.53 million. During the same quarter in the prior year, the business earned ($0.09) earnings per share. The business’s revenue for the quarter was up 36.4% on a year-over-year basis. As a group, analysts expect that Robinhood Markets, Inc. will post 0.8 EPS for the current fiscal year.

Insider Buying and Selling at Robinhood Markets

In other news, insider Daniel Martin Gallagher, Jr. sold 12,500 shares of Robinhood Markets stock in a transaction dated Thursday, October 3rd. The shares were sold at an average price of $22.37, for a total transaction of $279,625.00. Following the sale, the insider now directly owns 1,057,500 shares in the company, valued at approximately $23,656,275. The trade was a 1.17 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CTO Jeffrey Tsvi Pinner sold 5,876 shares of the stock in a transaction dated Friday, December 20th. The stock was sold at an average price of $37.92, for a total transaction of $222,817.92. Following the completion of the transaction, the chief technology officer now directly owns 11,752 shares of the company’s stock, valued at $445,635.84. This trade represents a 33.33 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 6,043,565 shares of company stock valued at $177,315,305 in the last quarter. Corporate insiders own 19.95% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

Institutional investors have recently added to or reduced their stakes in the stock. FMR LLC raised its holdings in shares of Robinhood Markets by 31.3% in the 3rd quarter. FMR LLC now owns 14,129,544 shares of the company’s stock worth $330,914,000 after buying an additional 3,368,118 shares in the last quarter. State Street Corp raised its stake in Robinhood Markets by 8.7% during the third quarter. State Street Corp now owns 13,558,321 shares of the company’s stock worth $317,536,000 after acquiring an additional 1,085,679 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Robinhood Markets by 19.5% during the third quarter. Geode Capital Management LLC now owns 11,620,673 shares of the company’s stock valued at $271,708,000 after acquiring an additional 1,895,427 shares during the period. Renaissance Technologies LLC boosted its stake in shares of Robinhood Markets by 37.7% in the 2nd quarter. Renaissance Technologies LLC now owns 7,651,700 shares of the company’s stock valued at $173,770,000 after purchasing an additional 2,094,800 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its stake 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 valued at $107,298,000 after purchasing an additional 1,137,677 shares in the last quarter. 93.27% of the stock is 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.