Robinhood Markets (NASDAQ:HOOD) Trading Down 6.2% – Time to Sell?

Shares of Robinhood Markets, Inc. (NASDAQ:HOOD) dropped 6.2% during trading on Tuesday . The company traded as low as $40.34 and last traded at $40.53. Approximately 10,221,125 shares were traded during mid-day trading, a decline of 39% from the average daily volume of 16,865,992 shares. The stock had previously closed at $43.20.

Wall Street Analysts Forecast Growth

HOOD has been the topic of several analyst reports. Sanford C. Bernstein increased their target price on Robinhood Markets from $30.00 to $51.00 and gave the stock an “outperform” rating in a research report on Wednesday, November 20th. Barclays raised Robinhood Markets from an “equal weight” rating to an “overweight” rating and increased their price objective for the stock from $26.00 to $49.00 in a report on Monday, December 9th. Citigroup lifted their target price on Robinhood Markets from $19.00 to $23.00 and gave the company a “neutral” rating in a research note on Friday, September 27th. Needham & Company LLC reiterated a “buy” rating and set a $52.00 price target (up from $40.00) on shares of Robinhood Markets in a research report on Monday, December 9th. Finally, JPMorgan Chase & Co. boosted their target price on shares of Robinhood Markets from $17.00 to $21.00 and gave the stock an “underweight” rating in a report on Thursday, October 17th. One investment analyst has rated the stock with a sell rating, two have issued a hold rating and twelve have issued a buy rating to the stock. According to MarketBeat.com, Robinhood Markets currently has an average rating of “Moderate Buy” and a consensus target price of $38.13.

Robinhood Markets Trading Down 4.1 %

The stock’s 50-day simple moving average is $32.10 and its 200-day simple moving average is $25.19. The stock has a market cap of $36.64 billion, a price-to-earnings ratio of 73.22, a price-to-earnings-growth ratio of 0.76 and a beta of 2.09.

Robinhood Markets (NASDAQ:HOOD) last issued its earnings results on Wednesday, October 30th. The company reported $0.17 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.01). The firm had revenue of $637.00 million during the quarter, compared to analyst estimates of $660.53 million. Robinhood Markets had a return on equity of 7.52% and a net margin of 21.80%. Robinhood Markets’s revenue for the quarter was up 36.4% on a year-over-year basis. During the same period in the previous year, the company earned ($0.09) EPS. On average, equities research analysts forecast that Robinhood Markets, Inc. will post 0.8 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Daniel Martin Gallagher, Jr. sold 12,500 shares of the firm’s stock in a transaction that occurred on Thursday, October 3rd. The shares were sold at an average price of $22.37, for a total transaction of $279,625.00. Following the completion of the sale, the insider now owns 1,057,500 shares of the company’s stock, valued at $23,656,275. This trade represents a 1.17 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CEO Vladimir Tenev sold 250,000 shares of Robinhood Markets stock in a transaction on Friday, October 4th. The shares were sold at an average price of $22.88, for a total transaction of $5,720,000.00. The disclosure for this sale can be found here. Insiders sold a total of 6,037,689 shares of company stock valued at $177,092,487 in the last three months. Insiders own 19.95% of the company’s stock.

Hedge Funds Weigh In On Robinhood Markets

Institutional investors and hedge funds have recently made changes to their positions in the stock. Garden State Investment Advisory Services LLC acquired a new stake in shares of Robinhood Markets in the 3rd quarter worth about $263,000. Franklin Resources Inc. bought a new position in Robinhood Markets during the third quarter worth about $6,321,000. Wilmington Savings Fund Society FSB purchased a new position in shares of Robinhood Markets in the third quarter worth about $351,000. Sanctuary Advisors LLC raised its position in shares of Robinhood Markets by 44.1% in the third quarter. Sanctuary Advisors LLC now owns 63,216 shares of the company’s stock valued at $1,481,000 after purchasing an additional 19,345 shares during the period. Finally, Toronto Dominion Bank lifted its stake in shares of Robinhood Markets by 31.1% during the 3rd quarter. Toronto Dominion Bank now owns 68,408 shares of the company’s stock valued at $1,602,000 after buying an additional 16,219 shares in the last quarter. Institutional investors 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.