Robinhood Markets (NASDAQ:HOOD) Shares Down 9.8% – Here’s What Happened

Robinhood Markets, Inc. (NASDAQ:HOOD)’s stock price traded down 9.8% during mid-day trading on Thursday . The company traded as low as $71.87 and last traded at $72.68. 54,693,270 shares changed hands during mid-day trading, an increase of 104% from the average session volume of 26,781,891 shares. The stock had previously closed at $80.62.

Analyst Upgrades and Downgrades

HOOD has been the subject of several research analyst reports. Truist Financial initiated coverage on shares of Robinhood Markets in a research report on Wednesday, December 17th. They set a “buy” rating and a $155.00 price target for the company. Loop Capital set a $152.00 price objective on shares of Robinhood Markets in a research note on Thursday, December 11th. Dbs Bank upgraded Robinhood Markets to a “moderate buy” rating in a report on Wednesday, November 12th. Piper Sandler reiterated an “overweight” rating on shares of Robinhood Markets in a report on Monday. Finally, Citizens Jmp upped their price target on Robinhood Markets from $170.00 to $180.00 and gave the stock a “market outperform” rating in a research note on Friday, November 7th. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $136.62.

Robinhood Markets Stock Performance

The firm has a fifty day moving average of $116.01 and a 200-day moving average of $119.45. The stock has a market capitalization of $65.35 billion, a price-to-earnings ratio of 30.16, a P/E/G ratio of 1.36 and a beta of 2.43.

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

Insider Activity

In related news, insider Daniel Martin Gallagher, Jr. sold 10,000 shares of Robinhood Markets stock in a transaction dated Monday, January 5th. The stock was sold at an average price of $121.58, for a total value of $1,215,800.00. Following the completion of the transaction, the insider directly owned 403,612 shares in the company, valued at approximately $49,071,146.96. This trade represents a 2.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Steven M. Quirk sold 49,942 shares of the business’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $131.15, for a total value of $6,549,893.30. Following the completion of the sale, the insider directly owned 54,496 shares of the company’s stock, valued at approximately $7,147,150.40. This represents a 47.82% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 2,805,075 shares of company stock valued at $347,653,564 in the last 90 days. Company insiders own 14.47% of the company’s stock.

Institutional Investors Weigh In On Robinhood Markets

A number of institutional investors have recently made changes to their positions in the company. Jennison Associates LLC purchased a new stake in shares of Robinhood Markets during the third quarter worth $322,823,000. Coordinated Financial Services Inc. acquired a new position in Robinhood Markets in the 2nd quarter worth about $403,000. Allstate Corp purchased a new stake in shares of Robinhood Markets during the 3rd quarter worth about $3,860,000. Principal Financial Group Inc. raised its stake in shares of Robinhood Markets by 909.9% during the 3rd quarter. Principal Financial Group Inc. now owns 831,466 shares of the company’s stock worth $119,049,000 after purchasing an additional 749,132 shares in the last quarter. Finally, New Wave Wealth Advisors LLC lifted its holdings in shares of Robinhood Markets by 479.4% during the 3rd quarter. New Wave Wealth Advisors LLC now owns 13,331 shares of the company’s stock valued at $1,909,000 after buying an additional 11,030 shares during the last quarter. 93.27% of the stock is currently owned by institutional investors.

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.