Robinhood Markets (NASDAQ:HOOD) Shares Gap Up – Should You Buy?

Shares of Robinhood Markets, Inc. (NASDAQ:HOOD) gapped up before the market opened on Monday . The stock had previously closed at $44.36, but opened at $46.40. Robinhood Markets shares last traded at $47.82, with a volume of 8,663,628 shares traded.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on HOOD shares. The Goldman Sachs Group raised Robinhood Markets from a “neutral” rating to a “buy” rating and upped their target price for the company from $40.00 to $46.00 in a research report on Friday, December 6th. KeyCorp increased their price objective on shares of Robinhood Markets from $57.00 to $75.00 and gave the company an “overweight” rating in a research report on Thursday, February 13th. Citigroup boosted their target price on shares of Robinhood Markets from $45.00 to $60.00 and gave the stock a “neutral” rating in a research report on Thursday, February 13th. Barclays raised their price target on shares of Robinhood Markets from $54.00 to $76.00 and gave the stock an “overweight” rating in a report on Thursday, February 13th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Robinhood Markets from $39.00 to $45.00 and gave the company a “neutral” rating in a report on Thursday, February 13th. Five research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $61.29.

Robinhood Markets Stock Performance

The firm’s 50 day moving average is $49.35 and its 200-day moving average is $37.82. The stock has a market capitalization of $42.63 billion, a price-to-earnings ratio of 30.67, a PEG ratio of 1.05 and a beta of 2.14.

Robinhood Markets (NASDAQ:HOOD) last issued its quarterly earnings data on Wednesday, February 12th. The company reported $0.54 earnings per share for the quarter, topping analysts’ consensus estimates 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, sell-side analysts forecast that Robinhood Markets, Inc. will post 1.35 earnings per share for the current year.

Insiders Place Their Bets

In other Robinhood Markets news, Director Baiju Bhatt sold 223,528 shares of the company’s stock in a transaction on Friday, March 21st. The shares were sold at an average price of $43.21, for a total transaction of $9,658,644.88. Following the completion of the transaction, the director now directly owns 5,042 shares in the company, valued at approximately $217,864.82. This represents a 97.79 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Vladimir Tenev sold 750,000 shares of the stock in a transaction on Thursday, January 2nd. The shares were sold at an average price of $39.16, for a total transaction of $29,370,000.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 2,908,632 shares of company stock worth $140,891,991. 19.95% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. FMR LLC increased its stake in Robinhood Markets by 184.8% during the 4th quarter. FMR LLC now owns 40,237,478 shares of the company’s stock worth $1,499,248,000 after buying an additional 26,107,934 shares in the last quarter. Norges Bank purchased a new stake in shares of Robinhood Markets during the fourth quarter worth approximately $329,598,000. GQG Partners LLC acquired a new position in Robinhood Markets in the 4th quarter valued at $302,325,000. Artisan Partners Limited Partnership purchased a new position in Robinhood Markets in the 4th quarter valued at $152,949,000. Finally, Price T Rowe Associates Inc. MD boosted its stake in Robinhood Markets by 335.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 5,185,225 shares of the company’s stock worth $193,202,000 after purchasing an additional 3,994,745 shares during the last quarter. Institutional investors and hedge funds own 93.27% of the company’s stock.

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.