Robinhood Markets (NASDAQ:HOOD) Trading Down 2.8% – Here’s Why

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price traded down 2.8% on Thursday . The company traded as low as $99.32 and last traded at $101.58. Approximately 16,220,213 shares changed hands during mid-day trading, a decline of 45% from the average daily volume of 29,515,754 shares. The stock had previously closed at $104.48.

More Robinhood Markets News

Here are the key news stories impacting Robinhood Markets this week:

• Positive Sentiment: Robinhood is getting support from analyst optimism, including a recent upgrade and a view that the stock could rise further ahead of earnings. Robinhood Markets (NASDAQ:HOOD) Trading 7.1% Higher on Analyst Upgrade
• Positive Sentiment: Market commentary highlighted Robinhood and Hyperliquid as potential leaders in the next crypto bull market, reinforcing investor interest in Robinhood’s crypto-linked growth opportunity. Robinhood, Hyperliquid could lead crypto’s next bull market…
• Positive Sentiment: Analysts and investors are focusing on upcoming Q2 metrics, which suggests the market is looking for a potentially meaningful earnings-related catalyst. Curious about Robinhood Markets (HOOD) Q2 Performance?
• Neutral Sentiment: Robinhood’s CEO X account was reportedly hacked to promote a fake memecoin, a headline that could raise some reputational noise but does not appear tied to the company’s core operations. Robinhood CEO’s X Account Hacked to Promote Fake Memecoin
• Neutral Sentiment: Recent coverage also centered on Robinhood’s growing product ecosystem, including Gold card adoption and a new Platinum card launch, but this was offset by ARK Invest reducing its position. Cathie Wood’s ARK Sells HOOD Stock Again…
• Negative Sentiment: Shares have been pressured by broader tech weakness, recent ARK selling, and caution ahead of earnings, which helped drive the stock lower in recent sessions. Why Is Robinhood Stock Falling on Thursday?
• Negative Sentiment: In the most recent reported trading session, HOOD also underperformed the broader market, adding to near-term weakness. Robinhood Markets, Inc. (HOOD) Suffers a Larger Drop Than the General Market

Analyst Ratings Changes

HOOD has been the topic of several recent analyst reports. The Goldman Sachs Group boosted their price objective on Robinhood Markets from $121.00 to $137.00 and gave the stock a “buy” rating in a report on Thursday, July 16th. Citizens Jmp reiterated a “market outperform” rating and issued a $155.00 target price on shares of Robinhood Markets in a report on Thursday, May 28th. Sanford C. Bernstein lifted their target price on shares of Robinhood Markets from $130.00 to $160.00 and gave the stock an “outperform” rating in a research report on Monday, July 20th. Piper Sandler restated an “overweight” rating on shares of Robinhood Markets in a report on Thursday, July 2nd. Finally, JPMorgan Chase & Co. reduced their price target on shares of Robinhood Markets from $113.00 to $92.00 and set a “neutral” rating for the company in a research report on Thursday, April 23rd. Twenty-one equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat, Robinhood Markets has an average rating of “Moderate Buy” and an average price target of $122.22.

Robinhood Markets Stock Down 6.6%

The stock has a market capitalization of $85.47 billion, a price-to-earnings ratio of 45.85, a price-to-earnings-growth ratio of 2.15 and a beta of 2.33. The firm has a 50-day moving average of $96.52 and a two-hundred day moving average of $88.61.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings data on Tuesday, April 28th. The company reported $0.38 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by ($0.01). The business had revenue of $1.07 billion during the quarter, compared to analysts’ expectations of $1.14 billion. Robinhood Markets had a return on equity of 21.39% and a net margin of 41.12%.The firm’s revenue was up 15.1% on a year-over-year basis. During the same period in the prior year, the company posted $0.37 earnings per share. As a group, sell-side analysts predict that Robinhood Markets, Inc. will post 1.86 EPS for the current year.

Insider Buying and Selling at Robinhood Markets

In other Robinhood Markets news, insider Daniel Martin Gallagher, Jr. sold 10,000 shares of the stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $116.14, for a total value of $1,161,400.00. Following the completion of the sale, the insider owned 471,396 shares in the company, valued at $54,747,931.44. This represents a 2.08% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Oluwadara Johnson Treseder sold 3,750 shares of the stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $117.50, for a total transaction of $440,625.00. Following the completion of the sale, the director owned 72,442 shares of the company’s stock, valued at approximately $8,511,935. The trade was a 4.92% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders acquired 680,000 shares of company stock valued at $55,306,560 and sold 587,875 shares valued at $62,602,915. 13.48% of the stock is owned by company insiders.

Institutional Trading of Robinhood Markets

Several hedge funds and other institutional investors have recently modified their holdings of HOOD. CYBER HORNET ETFs LLC grew its stake in Robinhood Markets by 527.8% in the fourth quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company’s stock valued at $26,000 after purchasing an additional 190 shares in the last quarter. MV Capital Management Inc. purchased a new stake in shares of Robinhood Markets during the 4th quarter worth about $27,000. Swiss RE Ltd. purchased a new stake in shares of Robinhood Markets during the 4th quarter worth about $27,000. Elyxium Wealth LLC acquired a new stake in shares of Robinhood Markets during the 4th quarter valued at about $27,000. Finally, Sound Income Strategies LLC lifted its holdings in shares of Robinhood Markets by 152.6% during the 4th quarter. Sound Income Strategies LLC now owns 240 shares of the company’s stock valued at $26,000 after buying an additional 145 shares during the last quarter. 93.27% of the stock is currently owned by hedge funds and other 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.