Insider Selling: Robinhood Markets (NASDAQ:HOOD) CFO Sells $393,778.56 in Stock

Robinhood Markets, Inc. (NASDAQ:HOOD) CFO Shiv Verma sold 3,984 shares of Robinhood Markets stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $98.84, for a total value of $393,778.56. Following the sale, the chief financial officer directly owned 59,927 shares of the company’s stock, valued at approximately $5,923,184.68. This represents a 6.23% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Shiv Verma also recently made the following trade(s):

• On Friday, May 15th, Shiv Verma sold 5,436 shares of Robinhood Markets stock. The stock was sold at an average price of $77.36, for a total value of $420,528.96.
• On Wednesday, April 15th, Shiv Verma sold 5,436 shares of Robinhood Markets stock. The stock was sold at an average price of $85.86, for a total value of $466,734.96.

Robinhood Markets Stock Performance

Shares of HOOD opened at $105.20 on Thursday. The stock has a 50-day moving average of $81.94 and a two-hundred day moving average of $91.51. Robinhood Markets, Inc. has a one year low of $63.51 and a one year high of $153.86. The stock has a market cap of $94.73 billion, a P/E ratio of 50.82, a P/E/G ratio of 2.42 and a beta of 2.35.

Robinhood Markets (NASDAQ:HOOD) last issued its quarterly 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 return on equity of 21.39% and a net margin of 41.12%.The firm had revenue of $1.07 billion for the quarter, compared to analyst estimates of $1.14 billion. During the same period in the prior year, the firm posted $0.37 EPS. The business’s revenue was up 15.1% compared to the same quarter last year. Analysts predict that Robinhood Markets, Inc. will post 1.83 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages have commented on HOOD. Citizens Jmp reaffirmed a “market outperform” rating and set a $155.00 price target on shares of Robinhood Markets in a research report on Thursday, May 28th. Zacks Research upgraded Robinhood Markets from a “strong sell” rating to a “hold” rating in a research note on Monday, June 8th. Keefe, Bruyette & Woods reduced their price objective on Robinhood Markets from $75.00 to $65.00 and set a “market perform” rating for the company in a research note on Wednesday, April 29th. Argus lifted their price objective on Robinhood Markets from $90.00 to $110.00 and gave the company a “buy” rating in a research note on Wednesday. Finally, Needham & Company LLC lifted their price objective on Robinhood Markets from $85.00 to $97.00 and gave the company a “buy” rating in a research note on Thursday, June 11th. Eighteen investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $112.36.

Hedge Funds Weigh In On Robinhood Markets

A number of institutional investors have recently modified their holdings of HOOD. Empowered Funds LLC raised its stake in shares of Robinhood Markets by 46.7% during the 1st quarter. Empowered Funds LLC now owns 49,870 shares of the company’s stock valued at $2,076,000 after buying an additional 15,885 shares during the last quarter. Arrowstreet Capital Limited Partnership acquired a new position in Robinhood Markets in the 2nd quarter worth about $5,105,000. Federated Hermes Inc. raised its holdings in Robinhood Markets by 106.2% in the 2nd quarter. Federated Hermes Inc. now owns 63,957 shares of the company’s stock worth $5,988,000 after purchasing an additional 32,933 shares during the period. NewEdge Advisors LLC raised its holdings in Robinhood Markets by 19.1% in the 2nd quarter. NewEdge Advisors LLC now owns 89,676 shares of the company’s stock worth $8,396,000 after purchasing an additional 14,356 shares during the period. Finally, Nebula Research & Development LLC acquired a new position in Robinhood Markets in the 2nd quarter worth about $1,316,000. Hedge funds and other institutional investors own 93.27% of the company’s stock.

Key Headlines Impacting Robinhood Markets

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

• Positive Sentiment: Robinhood announced a planned 10% workforce reduction, which investors are interpreting as a cost-cutting move that could improve efficiency and margins. The company said the restructuring is aimed at flattening management and speeding product launches. WSJ: Robinhood Markets to Cut 10% of Workforce in Restructuring
• Positive Sentiment: Management also said trading activity is running at record levels in June, signaling strong platform engagement and potentially better near-term revenue trends. Motley Fool: Robinhood Jumps After Announcing 10% Workforce Reduction, Record June Volumes
• Positive Sentiment: Wall Street responded favorably, with Argus raising its price target on HOOD to $110 from $90 and reiterating a buy rating, reinforcing confidence in the company’s growth outlook. Yahoo Finance: Robinhood Stock Is Soaring A Day After Big Layoffs. This Is Why.
• Positive Sentiment: Multiple reports say analysts remain broadly bullish on Robinhood despite the layoffs, suggesting investors see the company’s growth story as intact. Invezz: Robinhood stock gains as analysts back growth despite layoffs
• Neutral Sentiment: There was also insider selling by CFO Shiv Verma and director Baiju Bhatt, but both sales were disclosed as pre-arranged 10b5-1 transactions, so the market may treat them as routine rather than a major warning sign. SEC filing: Shiv Verma sale SEC filing: Baiju Bhatt sale

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.