Robinhood Markets (NASDAQ:HOOD) Stock Price Down 8.6% – Should You Sell?

Robinhood Markets, Inc. (NASDAQ:HOOD) shares were down 8.6% during trading on Thursday . The company traded as low as $119.47 and last traded at $121.53. Approximately 36,409,845 shares were traded during mid-day trading, a decline of 9% from the average daily volume of 40,147,055 shares. The stock had previously closed at $132.98.

Analyst Ratings Changes

A number of equities research analysts have weighed in on HOOD shares. Mizuho raised their price target on Robinhood Markets from $145.00 to $172.00 and gave the company an “outperform” rating in a research report on Thursday, November 6th. Bank of America increased their price objective on Robinhood Markets from $139.00 to $157.00 and gave the company a “buy” rating in a research report on Thursday, October 2nd. Citigroup boosted their price objective on shares of Robinhood Markets from $120.00 to $135.00 and gave the stock a “neutral” rating in a report on Tuesday, September 23rd. Compass Point reissued a “buy” rating on shares of Robinhood Markets in a research note on Monday, October 27th. Finally, Loop Capital set a $161.00 price target on shares of Robinhood Markets in a research report on Monday, October 27th. Fifteen investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Robinhood Markets presently has an average rating of “Moderate Buy” and an average target price of $132.65.

Robinhood Markets Trading Up 0.8%

The business’s fifty day simple moving average is $132.81 and its 200-day simple moving average is $102.77. The firm has a market cap of $110.15 billion, a P/E ratio of 50.83, a price-to-earnings-growth ratio of 2.80 and a beta of 2.42.

Robinhood Markets (NASDAQ:HOOD) last issued its quarterly earnings data on Wednesday, November 5th. The company reported $0.61 EPS for the quarter, beating the consensus estimate of $0.41 by $0.20. The firm had revenue of $1.27 billion during the quarter, compared to the consensus estimate of $1.15 billion. Robinhood Markets had a net margin of 52.19% and a return on equity of 21.74%. The company’s quarterly revenue was up 100.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.17 earnings per share. Analysts anticipate that Robinhood Markets, Inc. will post 1.35 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Steven M. Quirk sold 48,350 shares of the firm’s stock in a transaction on Tuesday, November 4th. The stock was sold at an average price of $140.61, for a total value of $6,798,493.50. Following the completion of the sale, the insider owned 70,279 shares of the company’s stock, valued at $9,881,930.19. This trade represents a 40.76% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Baiju Bhatt sold 1,330,000 shares of Robinhood Markets stock in a transaction on Friday, November 7th. The shares were sold at an average price of $128.47, for a total transaction of $170,865,100.00. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 4,297,404 shares of company stock worth $529,026,559. Insiders own 14.47% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

Institutional investors and hedge funds have recently modified their holdings of the stock. Envestnet Asset Management Inc. raised its stake in Robinhood Markets by 30.0% in the first quarter. Envestnet Asset Management Inc. now owns 328,511 shares of the company’s stock worth $13,673,000 after buying an additional 75,745 shares in the last quarter. Allworth Financial LP grew its holdings in shares of Robinhood Markets by 23.4% during the 1st quarter. Allworth Financial LP now owns 1,401 shares of the company’s stock worth $58,000 after acquiring an additional 266 shares during the period. Stephens Inc. AR bought a new position in shares of Robinhood Markets in the 1st quarter worth approximately $243,000. Dakota Wealth Management purchased a new position in shares of Robinhood Markets in the 1st quarter valued at approximately $501,000. Finally, Wealthfront Advisers LLC boosted its position in shares of Robinhood Markets by 213.2% during the first quarter. Wealthfront Advisers LLC now owns 132,162 shares of the company’s stock valued at $5,501,000 after purchasing an additional 89,971 shares in the last quarter. 93.27% of the stock is owned by hedge funds and other institutional investors.

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.