Key Points
- CEO Vladimir Tenev sold 240,834 Robinhood shares on September 22 at an average price of $125.33, generating approximately $30.2 million. The transaction, conducted under a pre-arranged Rule 10b5-1 plan, reduced his ownership by 50%.
- Robinhood reported quarterly earnings of $0.62 per share versus the $0.44 consensus estimate, while revenue rose 32.5% year over year to $1.31 billion.
- Despite insider selling and valuation concerns, analysts maintain a Moderate Buy consensus with an average price target of $130.70; institutional investors own 93.27% of the company.
Robinhood Markets, Inc. (NASDAQ:HOOD - Get Free Report) CEO Vladimir Tenev sold 240,834 shares of the company's stock in a transaction on Tuesday, September 22nd. The stock was sold at an average price of $125.33, for a total transaction of $30,183,725.22. Following the completion of the transaction, the chief executive officer owned 240,834 shares of the company's stock, valued at $30,183,725.22. This trade represents a 50.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Vladimir Tenev also recently made the following trade(s):
- On Monday, September 21st, Vladimir Tenev sold 259,166 shares of Robinhood Markets stock. The shares were sold at an average price of $125.58, for a total value of $32,546,066.28.
- On Monday, July 6th, Vladimir Tenev sold 375,000 shares of Robinhood Markets stock. The stock was sold at an average price of $116.17, for a total value of $43,563,750.00.
Robinhood Markets Price Performance
HOOD opened at $120.82 on Friday. The company has a current ratio of 1.22, a quick ratio of 1.22 and a debt-to-equity ratio of 0.23. The stock has a market capitalization of $108.63 billion, a P/E ratio of 53.22, a PEG ratio of 2.48 and a beta of 2.34. The stock has a 50-day moving average price of $104.30 and a 200-day moving average price of $92.25. Robinhood Markets, Inc. has a 12-month low of $63.51 and a 12-month high of $153.86.
Robinhood Markets (NASDAQ:HOOD - Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The company reported $0.62 earnings per share for the quarter, beating analysts' consensus estimates of $0.44 by $0.18. The company had revenue of $1.31 billion for the quarter, compared to analysts' expectations of $1.29 billion. Robinhood Markets had a return on equity of 22.43% and a net margin of 42.01%.Robinhood Markets's revenue for the quarter was up 32.5% compared to the same quarter last year. During the same period last year, the firm posted $0.42 EPS. Equities analysts predict that Robinhood Markets, Inc. will post 2.15 earnings per share for the current fiscal year.
Institutional Investors Weigh In On Robinhood Markets
Large investors have recently added to or reduced their stakes in the company. QRG Capital Management Inc. raised its stake in shares of Robinhood Markets by 14.8% during the second quarter. QRG Capital Management Inc. now owns 180,595 shares of the company's stock valued at $18,110,000 after acquiring an additional 23,253 shares during the last quarter. Envestnet Portfolio Solutions Inc. increased its holdings in Robinhood Markets by 31.7% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 15,529 shares of the company's stock valued at $1,557,000 after purchasing an additional 3,738 shares during the period. Capstone Financial Advisors Inc. increased its holdings in Robinhood Markets by 17.5% during the 2nd quarter. Capstone Financial Advisors Inc. now owns 3,569 shares of the company's stock valued at $358,000 after purchasing an additional 532 shares during the period. Whetstone Capital Advisors LLC raised its position in Robinhood Markets by 8.8% during the 2nd quarter. Whetstone Capital Advisors LLC now owns 54,755 shares of the company's stock valued at $5,491,000 after purchasing an additional 4,419 shares during the last quarter. Finally, National Pension Service raised its position in Robinhood Markets by 5.1% during the 2nd quarter. National Pension Service now owns 2,298,238 shares of the company's stock valued at $230,467,000 after purchasing an additional 112,365 shares during the last quarter. Institutional investors own 93.27% of the company's stock.
More Robinhood Markets News
Here are the key news stories impacting Robinhood Markets this week:
- Positive Sentiment: Prediction-market growth: Robinhood is moving beyond sports-related contracts, with crypto-linked prediction markets gaining traction. The broader popularity of prediction markets could increase trading activity and create a new source of transaction revenue. Robinhood's Prediction Markets Move Beyond Sports
- Positive Sentiment: Robinhood Chain development: Robinhood Chain integrated with Zerion as reported decentralized-exchange volume reached $1.88 billion. The partnership may improve decentralized-finance access and support adoption of Robinhood’s blockchain ecosystem. Robinhood Chain integrates with Zerion
- Positive Sentiment: Supportive fundamentals and analyst view: Robinhood’s latest reported quarter featured revenue growth of 32.5% year over year and earnings above consensus. The stock retains a “Moderate Buy” consensus, with an average analyst target of $130.70.
- Neutral Sentiment: Competitive AI developments: Brokerage firm Public reportedly introduced AI agents for prediction-market trading. The development validates demand for automated prediction-market tools but could intensify competition for Robinhood. Brokerage Firm Public Debuts AI Agents
- Negative Sentiment: CEO stock sales: CEO Vladimir Tenev reported sales of approximately $32.5 million and $30.2 million in HOOD shares on September 21 and 22, respectively. Both transactions were executed under pre-arranged Rule 10b5-1 plans, reducing their signaling value, but the roughly $62.7 million of selling still weighed on sentiment. Robinhood CEO stock sale
- Negative Sentiment: Sector-wide selling and valuation concerns: Weakness in Webull and other brokerage shares has spilled over to Robinhood, while HOOD remains valued well above its longer-term moving averages and at a relatively elevated earnings multiple. Prediction-market expansion also carries regulatory risk.
Wall Street Analysts Forecast Growth
HOOD has been the topic of several recent research reports. Needham & Company LLC reduced their target price on shares of Robinhood Markets from $123.00 to $120.00 and set a "buy" rating on the stock in a report on Thursday, July 30th. Sanford C. Bernstein restated an "outperform" rating and set a $160.00 price target on shares of Robinhood Markets in a research report on Tuesday, September 8th. Jefferies Financial Group raised their price objective on Robinhood Markets from $127.00 to $140.00 and gave the company a "buy" rating in a research note on Tuesday, September 8th. Zacks Research raised Robinhood Markets from a "hold" rating to a "strong-buy" rating in a research note on Thursday, September 3rd. Finally, Piper Sandler restated an "overweight" rating and set a $145.00 target price (up from $135.00) on shares of Robinhood Markets in a report on Wednesday, September 2nd. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, Robinhood Markets has an average rating of "Moderate Buy" and an average price target of $130.70.
View Our Latest Stock Report on Robinhood Markets
About Robinhood Markets
(
Get Free Report)
Robinhood Markets, Inc is a financial services company that operates a digital investing and trading platform. Through its mobile app and website, the company provides access to U.S. stocks, exchange-traded funds, options, cryptocurrencies and other investment products. Robinhood also offers individual retirement accounts, margin investing and cash-management services, subject to applicable eligibility requirements and regulations.
The company generates revenue from sources that include interest earned on customer cash and margin balances, transaction-based revenue related to options and cryptocurrency trading, subscription fees for Robinhood Gold and other service-related activities.
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