Robinhood Markets (NASDAQ:HOOD) Stock Price Down 3% After Insider Selling

Robinhood Markets, Inc. (NASDAQ:HOOD) shares dropped 3% on Friday after an insider sold shares in the company. The stock traded as low as $73.26 and last traded at $73.64. Approximately 20,625,314 shares were traded during mid-day trading, a decline of 30% from the average daily volume of 29,376,012 shares. The stock had previously closed at $75.92.

Specifically, Director Baiju Bhatt sold 67,422 shares of the business’s stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $75.38, for a total value of $5,082,270.36. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Shiv Verma sold 5,436 shares of the business’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $77.36, for a total transaction of $420,528.96. Following the completion of the sale, the chief financial officer directly owned 47,311 shares of the company’s stock, valued at approximately $3,659,978.96. This trade represents a 10.31% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

HOOD has been the subject of a number of research reports. New Street Research set a $122.00 price target on shares of Robinhood Markets in a research report on Thursday, March 5th. Cantor Fitzgerald reissued an “overweight” rating and issued a $110.00 price target on shares of Robinhood Markets in a research report on Wednesday, April 29th. Loop Capital set a $130.00 price target on shares of Robinhood Markets in a research report on Monday, February 9th. Jefferies Financial Group reduced their price target on shares of Robinhood Markets from $88.00 to $84.00 and set a “buy” rating for the company in a research report on Monday, April 6th. Finally, Keefe, Bruyette & Woods reduced their price target on shares of Robinhood Markets from $75.00 to $65.00 and set a “market perform” rating for the company in a research report on Wednesday, April 29th. Eighteen investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $107.88.

Robinhood Markets Stock Down 3.0%

The business’s fifty day moving average price is $76.21 and its 200 day moving average price is $96.63. The firm has a market capitalization of $66.31 billion, a PE ratio of 35.58, a PEG ratio of 2.45 and a beta of 2.29.

Robinhood Markets (NASDAQ:HOOD) last announced its earnings results on Tuesday, April 28th. The company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.39 by ($0.01). Robinhood Markets had a net margin of 41.12% and a return on equity of 21.39%. The business had revenue of $1.07 billion during the quarter, compared to analysts’ expectations of $1.14 billion. During the same period in the previous year, the company posted $0.37 earnings per share. Robinhood Markets’s quarterly revenue was up 15.1% on a year-over-year basis. On average, analysts anticipate that Robinhood Markets, Inc. will post 1.88 earnings per share for the current year.

Institutional Investors Weigh In On Robinhood Markets

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Sound Income Strategies LLC raised its holdings in Robinhood Markets by 152.6% during the fourth quarter. Sound Income Strategies LLC now owns 240 shares of the company’s stock worth $26,000 after purchasing an additional 145 shares in the last quarter. CYBER HORNET ETFs LLC raised its holdings in Robinhood Markets by 527.8% during the fourth quarter. CYBER HORNET ETFs LLC now owns 226 shares of the company’s stock worth $26,000 after purchasing an additional 190 shares in the last quarter. Golden State Wealth Management LLC raised its holdings in Robinhood Markets by 107.6% during the third quarter. Golden State Wealth Management LLC now owns 191 shares of the company’s stock worth $27,000 after purchasing an additional 99 shares in the last quarter. Elyxium Wealth LLC purchased a new position in Robinhood Markets during the fourth quarter worth about $27,000. Finally, MV Capital Management Inc. purchased a new position in Robinhood Markets during the fourth quarter worth about $27,000. 93.27% of the stock is owned by hedge funds and other 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.