Robinhood Markets (NASDAQ:HOOD) Cut to Sell at Wall Street Zen

Wall Street Zen downgraded shares of Robinhood Markets (NASDAQ:HOOD) from a hold rating to a sell rating in a research note published on Saturday.

HOOD has been the subject of several other research reports. Wolfe Research upgraded shares of Robinhood Markets from a “peer perform” rating to an “outperform” rating and set a $125.00 price target for the company in a report on Monday, February 9th. Piper Sandler reduced their target price on shares of Robinhood Markets from $155.00 to $135.00 and set an “overweight” rating for the company in a research note on Wednesday, February 11th. Barclays lowered their target price on Robinhood Markets from $159.00 to $124.00 and set an “overweight” rating for the company in a report on Wednesday, February 11th. Needham & Company LLC reduced their price objective on Robinhood Markets from $135.00 to $100.00 and set a “buy” rating for the company in a research report on Wednesday, February 11th. Finally, Dbs Bank upgraded Robinhood Markets to a “moderate buy” rating in a report on Wednesday, November 12th. Eighteen investment analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Robinhood Markets has an average rating of “Moderate Buy” and an average target price of $126.95.

Robinhood Markets Price Performance

Shares of Robinhood Markets stock opened at $75.97 on Friday. The company has a market capitalization of $68.31 billion, a P/E ratio of 36.88, a price-to-earnings-growth ratio of 1.29 and a beta of 2.44. The business has a 50-day moving average of $107.68 and a two-hundred day moving average of $118.14. Robinhood Markets has a 1 year low of $29.66 and a 1 year high of $153.86.

Robinhood Markets (NASDAQ:HOOD) last issued its quarterly earnings data on Tuesday, February 10th. The company reported $0.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.63 by $0.03. Robinhood Markets had a return on equity of 22.32% and a net margin of 42.10%.The business had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.32 billion. During the same period in the previous year, the firm earned $1.01 EPS. Robinhood Markets’s quarterly revenue was up 26.5% compared to the same quarter last year. On average, equities analysts anticipate that Robinhood Markets will post 1.35 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Vladimir Tenev sold 375,000 shares of the firm’s stock in a transaction on Monday, January 5th. The shares were sold at an average price of $121.63, for a total value of $45,611,250.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, insider Steven M. Quirk sold 52,540 shares of the company’s stock in a transaction on Tuesday, February 3rd. The stock was sold at an average price of $87.81, for a total transaction of $4,613,537.40. Following the sale, the insider directly owned 27,564 shares in the company, valued at $2,420,394.84. This trade represents a 65.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 700,939 shares of company stock worth $84,749,747. Insiders own 19.95% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

Institutional investors and hedge funds have recently modified their holdings of the company. Empowered Funds LLC grew its holdings in Robinhood Markets by 46.7% during the first quarter. Empowered Funds LLC now owns 49,870 shares of the company’s stock worth $2,076,000 after purchasing an additional 15,885 shares during the period. Aberdeen Group plc boosted its stake in shares of Robinhood Markets by 51.8% during the 2nd quarter. Aberdeen Group plc now owns 27,895 shares of the company’s stock worth $2,612,000 after acquiring an additional 9,520 shares during the period. Yousif Capital Management LLC boosted its stake in shares of Robinhood Markets by 8.3% during the 2nd quarter. Yousif Capital Management LLC now owns 9,473 shares of the company’s stock worth $887,000 after acquiring an additional 725 shares during the period. Ritholtz Wealth Management increased its holdings in shares of Robinhood Markets by 43.3% during the 2nd quarter. Ritholtz Wealth Management now owns 16,560 shares of the company’s stock worth $1,551,000 after acquiring an additional 5,001 shares during the last quarter. Finally, Mutual Advisors LLC bought a new stake in Robinhood Markets in the 2nd quarter valued at $333,000. 93.27% of the stock is owned by institutional investors.

About Robinhood Markets

Robinhood Markets, Inc (NASDAQ: HOOD) is a U.S.-based financial services company best known for its mobile-first brokerage platform that aims to “democratize finance for all.” Founded in 2013 by Vladimir Tenev and Baiju Bhatt and headquartered in Menlo Park, California, the company built early traction by offering commission-free trading and a simplified user experience that attracted a large base of retail investors.

Robinhood’s core products and services include a mobile app and web platform for trading U.S.