Robinhood Markets (NASDAQ:HOOD) Stock Price Down 6.9% After Analyst Downgrade

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price was down 6.9% on Friday after Needham & Company LLC lowered their price target on the stock from $70.00 to $62.00. Needham & Company LLC currently has a buy rating on the stock. Robinhood Markets traded as low as $40.57 and last traded at $40.94. Approximately 17,233,478 shares traded hands during trading, a decline of 20% from the average daily volume of 21,523,713 shares. The stock had previously closed at $43.99.

Several other equities research analysts also recently weighed in on the stock. Deutsche Bank Aktiengesellschaft reduced their price target on shares of Robinhood Markets from $75.00 to $61.00 and set a “buy” rating for the company in a research report on Wednesday, March 12th. Citigroup lifted their target price on Robinhood Markets from $45.00 to $60.00 and gave the stock a “neutral” rating in a report on Thursday, February 13th. Raymond James began coverage on Robinhood Markets in a report on Wednesday, February 5th. They set a “market perform” rating on the stock. JPMorgan Chase & Co. lifted their price objective on Robinhood Markets from $39.00 to $45.00 and gave the stock a “neutral” rating in a report on Thursday, February 13th. Finally, Piper Sandler upped their target price on shares of Robinhood Markets from $54.00 to $75.00 and gave the company an “overweight” rating in a research note on Thursday, February 13th. Five research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. According to data from MarketBeat, Robinhood Markets has a consensus rating of “Moderate Buy” and an average price target of $60.82.

Insider Activity

In other news, insider Daniel Martin Gallagher, Jr. sold 100,000 shares of the stock in a transaction on Friday, January 3rd. The shares were sold at an average price of $40.45, for a total value of $4,045,000.00. Following the completion of the sale, the insider now directly owns 731,642 shares of the company’s stock, valued at $29,594,918.90. This represents a 12.02 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Vladimir Tenev sold 750,000 shares of the firm’s stock in a transaction dated Thursday, January 2nd. The shares were sold at an average price of $39.16, for a total value of $29,370,000.00. The disclosure for this sale can be found here. Insiders have sold a total of 2,955,655 shares of company stock valued at $143,072,448 in the last ninety days. Corporate insiders own 19.95% of the company’s stock.

Hedge Funds Weigh In On Robinhood Markets

Several institutional investors have recently bought and sold shares of HOOD. New Wave Wealth Advisors LLC purchased a new stake in Robinhood Markets in the 4th quarter worth $26,000. True Wealth Design LLC bought a new stake in shares of Robinhood Markets in the third quarter worth about $30,000. CoreCap Advisors LLC lifted its position in shares of Robinhood Markets by 191.6% in the fourth quarter. CoreCap Advisors LLC now owns 837 shares of the company’s stock worth $31,000 after buying an additional 550 shares in the last quarter. Creative Financial Designs Inc. ADV boosted its stake in Robinhood Markets by 750.0% during 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. Finally, Colonial Trust Co SC purchased a new position in Robinhood Markets during the 4th quarter valued at approximately $34,000. 93.27% of the stock is owned by hedge funds and other institutional investors.

Robinhood Markets Trading Down 4.7 %

The firm has a market cap of $37.12 billion, a P/E ratio of 26.70, a P/E/G ratio of 1.05 and a beta of 2.14. The stock has a 50 day simple moving average of $49.16 and a 200-day simple moving average of $38.06.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings results on Wednesday, February 12th. The company reported $0.54 earnings per share for the quarter, topping the consensus estimate of $0.41 by $0.13. Robinhood Markets had a net margin of 47.81% and a return on equity of 13.53%. As a group, equities analysts forecast that Robinhood Markets, Inc. will post 1.35 earnings per share for the current fiscal year.

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.