Robinhood Markets (NASDAQ:HOOD) Trading 11.8% Higher Following Strong Earnings

Robinhood Markets, Inc. (NASDAQ:HOOD) shot up 11.8% during mid-day trading on Thursday after the company announced better than expected quarterly earnings. The company traded as high as $66.91 and last traded at $62.53. 43,068,475 shares were traded during mid-day trading, an increase of 91% from the average session volume of 22,551,186 shares. The stock had previously closed at $55.91.

The company reported $0.54 earnings per share for the quarter, beating the consensus estimate of $0.41 by $0.13. Robinhood Markets had a return on equity of 7.52% and a net margin of 21.80%.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Needham & Company LLC lifted their price target on shares of Robinhood Markets from $52.00 to $70.00 and gave the company a “buy” rating in a research report on Thursday. The Goldman Sachs Group upgraded shares of Robinhood Markets from a “neutral” rating to a “buy” rating and lifted their target price for the company from $40.00 to $46.00 in a report on Friday, December 6th. Keefe, Bruyette & Woods increased their price target on Robinhood Markets from $24.00 to $38.00 and gave the company a “market perform” rating in a report on Friday, December 20th. JPMorgan Chase & Co. boosted their price objective on Robinhood Markets from $39.00 to $45.00 and gave the stock a “neutral” rating in a research note on Thursday. Finally, Piper Sandler increased their target price on Robinhood Markets from $54.00 to $75.00 and gave the company an “overweight” rating in a research note on Thursday. Four research analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $58.07.

Insider Activity

In other Robinhood Markets news, insider Daniel Martin Gallagher, Jr. sold 12,500 shares of Robinhood Markets stock in a transaction on Tuesday, December 3rd. The shares were sold at an average price of $38.22, for a total transaction of $477,750.00. Following the sale, the insider now owns 1,106,955 shares in the company, valued at $42,307,820.10. The trade was a 1.12 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Baiju Bhatt sold 186,514 shares of the company’s stock in a transaction dated Wednesday, December 11th. The shares were sold at an average price of $38.13, for a total transaction of $7,111,778.82. Following the completion of the sale, the director now directly owns 2,521 shares in the company, valued at approximately $96,125.73. The trade was a 98.67 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 3,948,427 shares of company stock valued at $165,005,244. 19.95% of the stock is owned by insiders.

Institutional Investors Weigh In On Robinhood Markets

A number of hedge funds have recently made changes to their positions in HOOD. New Wave Wealth Advisors LLC acquired a new position in shares of Robinhood Markets in the 4th quarter worth approximately $26,000. HM Payson & Co. boosted its stake in Robinhood Markets by 53.5% in the third quarter. HM Payson & Co. now owns 1,176 shares of the company’s stock worth $28,000 after purchasing an additional 410 shares in the last quarter. Eastern Bank bought a new stake in shares of Robinhood Markets during the third quarter worth $30,000. True Wealth Design LLC acquired a new stake in shares of Robinhood Markets in the third quarter valued at $30,000. Finally, Creative Financial Designs Inc. ADV raised its holdings in shares of Robinhood Markets by 750.0% in the fourth quarter. Creative Financial Designs Inc. ADV now owns 850 shares of the company’s stock valued at $32,000 after buying an additional 750 shares during the last quarter. Institutional investors and hedge funds own 93.27% of the company’s stock.

Robinhood Markets Stock Up 14.1 %

The stock has a fifty day moving average of $44.98 and a 200-day moving average of $32.13. The firm has a market capitalization of $56.40 billion, a P/E ratio of 108.14, a PEG ratio of 0.73 and a beta of 2.13.

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.