Robinhood Markets (NASDAQ:HOOD) Shares Gap Down on Analyst Downgrade

Robinhood Markets, Inc. (NASDAQ:HOOD) gapped down prior to trading on Thursday after Citigroup lowered their price target on the stock from $60.00 to $50.00. The stock had previously closed at $42.68, but opened at $37.97. Citigroup currently has a neutral rating on the stock. Robinhood Markets shares last traded at $38.42, with a volume of 18,480,877 shares changing hands.

HOOD has been the topic of a number of other research reports. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and set a $60.00 price target on shares of Robinhood Markets in a research report on Thursday, March 27th. The Goldman Sachs Group upgraded shares of Robinhood Markets from a “neutral” rating to a “buy” rating and raised their price objective for the stock from $40.00 to $46.00 in a report on Friday, December 6th. Needham & Company LLC dropped their price target on Robinhood Markets from $70.00 to $62.00 and set a “buy” rating on the stock in a research note on Friday, March 28th. Raymond James began coverage on Robinhood Markets in a report on Wednesday, February 5th. They set a “market perform” rating for the company. Finally, JMP Securities raised their price target on shares of Robinhood Markets from $60.00 to $77.00 and gave the stock a “market outperform” rating in a research note on Thursday, February 13th. Five analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company’s stock. According to MarketBeat, Robinhood Markets has an average rating of “Moderate Buy” and an average target price of $60.24.

Insider Buying and Selling

In related news, insider Daniel Martin Gallagher, Jr. sold 100,000 shares of the company’s stock in a transaction on Friday, January 3rd. The stock was sold at an average price of $40.45, for a total transaction of $4,045,000.00. Following the completion of the sale, the insider now directly owns 731,642 shares in the company, valued at $29,594,918.90. This represents a 12.02 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Baiju Bhatt sold 47,023 shares of Robinhood Markets stock in a transaction dated Monday, March 24th. The shares were sold at an average price of $46.37, for a total value of $2,180,456.51. Following the completion of the transaction, the director now owns 5,042 shares in the company, valued at approximately $233,797.54. This represents a 90.32 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 2,205,655 shares of company stock worth $113,702,448. Company insiders own 19.95% of the company’s stock.

Institutional Trading of Robinhood Markets

A number of hedge funds have recently made changes to their positions in the company. FMR LLC raised its holdings in Robinhood Markets by 184.8% in the 4th quarter. FMR LLC now owns 40,237,478 shares of the company’s stock valued at $1,499,248,000 after buying an additional 26,107,934 shares during the last quarter. Newlands Management Operations LLC increased its position in Robinhood Markets by 1.1% in the 4th quarter. Newlands Management Operations LLC now owns 24,158,860 shares of the company’s stock valued at $900,159,000 after acquiring an additional 273,860 shares during the period. State Street Corp raised its stake in shares of Robinhood Markets by 8.7% during the third quarter. State Street Corp now owns 13,558,321 shares of the company’s stock valued at $317,536,000 after acquiring an additional 1,085,679 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of Robinhood Markets by 4.8% during the fourth quarter. Geode Capital Management LLC now owns 12,175,972 shares of the company’s stock valued at $455,464,000 after acquiring an additional 555,299 shares during the last quarter. Finally, Renaissance Technologies LLC lifted its holdings in shares of Robinhood Markets by 34.4% during the fourth quarter. Renaissance Technologies LLC now owns 12,078,116 shares of the company’s stock worth $450,031,000 after purchasing an additional 3,091,514 shares during the period. 93.27% of the stock is owned by institutional investors and hedge funds.

Robinhood Markets Stock Down 10.4 %

The company has a market cap of $33.85 billion, a P/E ratio of 24.15, a PEG ratio of 1.05 and a beta of 2.14. The firm’s 50 day moving average is $48.73 and its two-hundred day moving average is $38.63.

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

About Robinhood Markets

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.