Robinhood Markets (NASDAQ:HOOD) Shares Down 1.1% Following Analyst Downgrade

Robinhood Markets, Inc. (NASDAQ:HOOD)’s share price fell 1.1% during trading on Tuesday after KeyCorp lowered their price target on the stock from $160.00 to $130.00. KeyCorp currently has an overweight rating on the stock. Robinhood Markets traded as low as $85.21 and last traded at $85.60. 37,135,207 shares changed hands during trading, an increase of 29% from the average session volume of 28,678,525 shares. The stock had previously closed at $86.56.

A number of other brokerages have also issued reports on HOOD. Dbs Bank upgraded shares of Robinhood Markets to a “moderate buy” rating in a research report on Wednesday, November 12th. Morgan Stanley boosted their target price on shares of Robinhood Markets from $146.00 to $147.00 and gave the company an “equal weight” rating in a report on Monday, December 22nd. CICC Research initiated coverage on shares of Robinhood Markets in a report on Monday, October 27th. They set an “outperform” rating and a $155.00 price target for the company. Needham & Company LLC reaffirmed a “buy” rating and set a $135.00 price target on shares of Robinhood Markets in a research report on Wednesday, January 28th. Finally, Keefe, Bruyette & Woods increased their price objective on Robinhood Markets from $121.00 to $135.00 and gave the stock a “market perform” rating in a research report on Thursday, November 6th. Seventeen investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $131.82.

Insider Transactions at Robinhood Markets

In related news, insider Steven M. Quirk sold 52,540 shares of the stock in a transaction dated 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 transaction, the insider owned 27,564 shares of the company’s stock, valued at approximately $2,420,394.84. This represents a 65.59% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Baiju Bhatt sold 418,338 shares of the firm’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $116.56, for a total value of $48,761,477.28. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 1,537,615 shares of company stock valued at $182,272,702. Corporate insiders own 19.95% of the company’s stock.

Key Robinhood Markets News

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

• Positive Sentiment: Q4 EPS beat consensus — Robinhood reported $0.66 diluted EPS (vs. ~$0.58 consensus), showing continued profitability and topping estimates which supports near-term earnings confidence. Robinhood Q4 Tops Estimates (Zacks)
• Positive Sentiment: Record full‑year results — 2025 revenue hit ~$4.5B with record net deposits ($68B), 27M funded customers and 4.2M Gold subscribers, giving management runway to expand fee-bearing products and monetize customers. Q4 & Full‑Year Results (GlobeNewswire)
• Positive Sentiment: Product & strategic wins — Expansion of Prediction Markets, Rothera JV and the MIAXdx acquisition position Robinhood to create new, differentiated revenue streams beyond traditional P&L drivers. This is cited as a longer‑term catalyst by media/analysts. Prediction‑Market Lift (WSJ)
• Neutral Sentiment: Analyst reactions mixed but mostly constructive — Several firms raised/maintained bullish ratings and price targets (Wolfe, Cantor, others), providing potential upside support even after the pullback. Wolfe Upgrade
• Neutral Sentiment: CFO transition & buybacks — Shiv Verma named CFO (effective Feb 6) and the company resumed repurchases ($100M in Q4, $653M YTD), items investors will watch but are not immediate swing factors. CFO Transition & Buybacks
• Negative Sentiment: Revenue missed estimates — Q4 revenue of $1.28B missed Street estimates (~$1.32B); investors punished the stock on concern that growth quality is uneven despite strong headline metrics. Revenue Miss Coverage (Reuters)
• Negative Sentiment: Crypto revenue slump — Crypto revenue fell ~38% YoY and Robinhood app crypto volumes dropped sharply, which was flagged as the main driver of the negative after‑hours reaction and implies volatility in a meaningful revenue bucket. Crypto Decline (Proactive)
• Negative Sentiment: Margin/expense profile and guidance risks — Operating expenses rose (marketing, acquisitions) and 2026 expense guidance calls for continued investment, which could pressure near‑term margins despite higher adjusted EBITDA. Expense Outlook (GlobeNewswire)
• Negative Sentiment: Large insider selling flagged — Recent disclosures show extensive insider sales over the past 6 months, which some investors interpret as a negative signal on timing of further share issuance/sales. Insider Selling (QuiverQuant summary)

Institutional Investors Weigh In On Robinhood Markets

Several large investors have recently added to or reduced their stakes in HOOD. Jennison Associates LLC acquired a new position in Robinhood Markets during the 3rd quarter worth $322,823,000. New York Life Investment Management LLC purchased a new position in shares of Robinhood Markets in the 3rd quarter valued at about $14,989,000. Allstate Corp acquired a new position in shares of Robinhood Markets during the third quarter worth about $3,860,000. Principal Financial Group Inc. grew its position in shares of Robinhood Markets by 909.9% during the third quarter. Principal Financial Group Inc. now owns 831,466 shares of the company’s stock worth $119,049,000 after buying an additional 749,132 shares in the last quarter. Finally, New Wave Wealth Advisors LLC increased its stake in shares of Robinhood Markets by 479.4% during the third quarter. New Wave Wealth Advisors LLC now owns 13,331 shares of the company’s stock worth $1,909,000 after buying an additional 11,030 shares during the period. 93.27% of the stock is owned by hedge funds and other institutional investors.

Robinhood Markets Stock Down 1.1%

The company’s fifty day moving average is $112.45 and its two-hundred day moving average is $118.97. The stock has a market cap of $76.97 billion, a price-to-earnings ratio of 35.52, a PEG ratio of 1.34 and a beta of 2.43.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings data on Tuesday, February 10th. The company reported $0.66 EPS for the quarter, beating analysts’ consensus estimates of $0.63 by $0.03. Robinhood Markets had a net margin of 52.19% and a return on equity of 21.74%. The company had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.32 billion. During the same period in the prior year, the firm posted $1.01 EPS. The company’s quarterly revenue was up 26.5% compared to the same quarter last year. Sell-side analysts predict that Robinhood Markets, Inc. will post 1.35 EPS for the current fiscal year.

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.