Robinhood Markets (NASDAQ:HOOD) Shares Down 9.1% on Analyst Downgrade

Robinhood Markets, Inc. (NASDAQ:HOOD) shares were down 9.1% during mid-day trading on Thursday after Cantor Fitzgerald lowered their price target on the stock from $155.00 to $152.00. Cantor Fitzgerald currently has an overweight rating on the stock. Robinhood Markets traded as low as $122.53 and last traded at $123.38. Approximately 43,778,021 shares traded hands during trading, an increase of 12% from the average daily volume of 39,254,996 shares. The stock had previously closed at $135.66.

HOOD has been the topic of several other reports. Bank of America dropped their target price on shares of Robinhood Markets from $166.00 to $154.00 and set a “buy” rating on the stock in a report on Wednesday. Morgan Stanley raised their price objective on shares of Robinhood Markets from $110.00 to $146.00 and gave the stock an “equal weight” rating in a report on Wednesday, October 1st. Mizuho boosted their price objective on shares of Robinhood Markets from $145.00 to $172.00 and gave the company an “outperform” rating in a research report on Thursday, November 6th. Zacks Research raised shares of Robinhood Markets from a “hold” rating to a “strong-buy” rating in a research note on Friday, November 28th. Finally, Piper Sandler reissued an “overweight” rating on shares of Robinhood Markets in a research note on Wednesday, November 26th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Robinhood Markets currently has an average rating of “Moderate Buy” and an average price target of $136.16.

Insider Buying and Selling at Robinhood Markets

In other news, insider Steven M. Quirk sold 49,942 shares of the stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $131.15, for a total transaction of $6,549,893.30. Following the completion of the transaction, the insider directly owned 54,496 shares in the company, valued at $7,147,150.40. This represents a 47.82% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Daniel Martin Gallagher, Jr. sold 120,000 shares of the firm’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $132.13, for a total value of $15,855,600.00. Following the completion of the transaction, the insider owned 430,012 shares of the company’s stock, valued at $56,817,485.56. The trade was a 21.82% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 3,686,763 shares of company stock valued at $475,858,262. Corporate insiders own 14.47% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

Institutional investors and hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. increased its holdings in Robinhood Markets by 24.9% during the third quarter. Vanguard Group Inc. now owns 94,437,054 shares of the company’s stock worth $13,521,497,000 after buying an additional 18,824,923 shares during the last quarter. State Street Corp grew its position in shares of Robinhood Markets by 103.2% in the 3rd quarter. State Street Corp now owns 32,246,155 shares of the company’s stock valued at $4,617,004,000 after acquiring an additional 16,375,734 shares during the period. Geode Capital Management LLC increased its stake in shares of Robinhood Markets by 4.0% during the 2nd quarter. Geode Capital Management LLC now owns 13,176,539 shares of the company’s stock worth $1,233,840,000 after purchasing an additional 507,926 shares during the last quarter. WCM Investment Management LLC raised its holdings in shares of Robinhood Markets by 3,615.7% in the 2nd quarter. WCM Investment Management LLC now owns 11,555,160 shares of the company’s stock valued at $1,081,910,000 after purchasing an additional 11,244,182 shares during the period. Finally, Norges Bank bought a new stake in shares of Robinhood Markets in the 2nd quarter valued at about $973,122,000. Institutional investors own 93.27% of the company’s stock.

Robinhood Markets Trading Down 9.1%

The firm has a market capitalization of $110.94 billion, a price-to-earnings ratio of 51.20, a P/E/G ratio of 3.03 and a beta of 2.43. The company’s 50 day moving average is $132.62 and its 200-day moving average is $111.33.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings results on Wednesday, November 5th. The company reported $0.61 earnings per share for the quarter, topping analysts’ consensus estimates of $0.41 by $0.20. Robinhood Markets had a return on equity of 21.74% and a net margin of 52.19%.The firm had revenue of $1.27 billion for the quarter, compared to the consensus estimate of $1.15 billion. During the same quarter in the previous year, the business earned $0.17 earnings per share. The business’s revenue was up 100.0% compared to the same quarter last year. Research analysts expect that Robinhood Markets, Inc. will post 1.35 EPS for the current 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.