Robinhood Markets (NASDAQ:HOOD) Trading Down 5.1% After Insider Selling

Robinhood Markets, Inc. (NASDAQ:HOOD)’s share price traded down 5.1% during mid-day trading on Tuesday following insider selling activity. The company traded as low as $61.93 and last traded at $61.95. 16,100,477 shares were traded during trading, a decline of 33% from the average session volume of 24,048,426 shares. The stock had previously closed at $65.28.

Specifically, Director Baiju Bhatt sold 522,180 shares of Robinhood Markets stock in a transaction dated Thursday, February 13th. The stock was sold at an average price of $62.70, for a total transaction of $32,740,686.00. Following the completion of the sale, the director now owns 5,042 shares in the company, valued at approximately $316,133.40. This trade represents a 99.04 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link.

Wall Street Analyst Weigh In

HOOD has been the topic of a number of recent analyst reports. Needham & Company LLC raised their target price on shares of Robinhood Markets from $52.00 to $70.00 and gave the company a “buy” rating in a research note on Thursday, February 13th. KeyCorp raised 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. Keefe, Bruyette & Woods upped their target price on shares of Robinhood Markets from $38.00 to $60.00 and gave the stock a “market perform” rating in a research report on Tuesday. Citigroup raised their price target on Robinhood Markets from $45.00 to $60.00 and gave the company a “neutral” rating in a research report on Thursday, February 13th. Finally, Wolfe Research cut Robinhood Markets from an “outperform” rating to a “peer perform” rating in a report on Tuesday. Five investment analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $59.53.

Robinhood Markets Price Performance

The stock has a market cap of $53.43 billion, a PE ratio of 102.44, a price-to-earnings-growth ratio of 0.73 and a beta of 2.13. The business has a 50 day moving average price of $46.43 and a two-hundred day moving average price of $33.22.

Robinhood Markets (NASDAQ:HOOD) last announced its quarterly earnings results on Wednesday, February 12th. The company reported $0.54 earnings per share for the quarter, beating the consensus estimate of $0.41 by $0.13. Robinhood Markets had a net margin of 21.80% and a return on equity of 7.52%. On average, sell-side analysts forecast that Robinhood Markets, Inc. will post 0.97 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Gordian Capital Singapore Pte Ltd purchased a new stake in Robinhood Markets in the 4th quarter worth approximately $182,000. Arrowpoint Investment Partners Singapore Pte. Ltd. purchased a new stake in Robinhood Markets in the fourth quarter worth $1,751,000. Castleark Management LLC bought a new stake in Robinhood Markets in the fourth quarter valued at $839,000. Focus Partners Advisor Solutions LLC purchased a new position in Robinhood Markets during the 4th quarter valued at $287,000. Finally, Connective Capital Management LLC bought a new position in Robinhood Markets in the 4th quarter worth $545,000. Hedge funds and other 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.