Robinhood Markets (NASDAQ:HOOD) Shares Down 1.7% After Insider Selling

Robinhood Markets, Inc. (NASDAQ:HOOD) was down 1.7% during trading on Tuesday following insider selling activity. The stock traded as low as $71.66 and last traded at $72.14. Approximately 15,956,736 shares were traded during mid-day trading, a decline of 41% from the average daily volume of 27,070,590 shares. The stock had previously closed at $73.40.

Specifically, CTO Jeffrey Tsvi Pinner sold 5,865 shares of the company’s stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $73.49, for a total transaction of $431,018.85. Following the completion of the transaction, the chief technology officer now owns 20,636 shares in the company, valued at $1,516,539.64. This represents a 22.13% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Daniel Martin Gallagher, Jr. sold 25,000 shares of the company’s stock in a transaction that occurred on Tuesday, June 3rd. The shares were sold at an average price of $71.64, for a total value of $1,791,000.00. Following the transaction, the insider now owns 841,887 shares of the company’s stock, valued at approximately $60,312,784.68. This represents a 2.88% decrease in their position. The disclosure for this sale can be found here. In other news, insider Steven M. Quirk sold 104,887 shares of the firm’s stock in a transaction that occurred on Tuesday, June 3rd. The stock was sold at an average price of $70.14, for a total value of $7,356,774.18. Following the completion of the transaction, the insider now owns 228,621 shares in the company, valued at $16,035,476.94. This trade represents a 31.45% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink.

Analyst Upgrades and Downgrades

HOOD has been the topic of several analyst reports. Wolfe Research downgraded Robinhood Markets from an “outperform” rating to a “peer perform” rating in a report on Tuesday, February 18th. Compass Point began coverage on Robinhood Markets in a research note on Wednesday, March 19th. They issued a “buy” rating and a $61.00 target price on the stock. Deutsche Bank Aktiengesellschaft increased their target price on Robinhood Markets from $70.00 to $85.00 and gave the stock a “buy” rating in a research note on Monday. Barclays cut their target price on Robinhood Markets from $76.00 to $45.00 and set an “overweight” rating on the stock in a research note on Monday, April 7th. Finally, KeyCorp cut their target price on Robinhood Markets from $75.00 to $55.00 and set an “overweight” rating on the stock in a research note on Wednesday, April 23rd. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and twelve have assigned a buy rating to the stock. According to data from MarketBeat, Robinhood Markets currently has an average rating of “Moderate Buy” and an average price target of $56.17.

Robinhood Markets Price Performance

The firm has a market capitalization of $64.20 billion, a PE ratio of 46.19, a PEG ratio of 1.05 and a beta of 2.25. The firm has a 50-day simple moving average of $53.87 and a 200-day simple moving average of $47.97.

Robinhood Markets (NASDAQ:HOOD) last announced its earnings results on Wednesday, April 30th. The company reported $0.37 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.41 by ($0.04). The firm had revenue of $927.00 million during the quarter, compared to analysts’ expectations of $917.12 million. Robinhood Markets had a return on equity of 13.53% and a net margin of 47.81%. The company’s revenue for the quarter was up 50.0% on a year-over-year basis. During the same period in the previous year, the business posted $0.18 earnings per share. Equities analysts expect that Robinhood Markets, Inc. will post 1.35 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of HOOD. Whipplewood Advisors LLC raised its stake in shares of Robinhood Markets by 564.4% in the first quarter. Whipplewood Advisors LLC now owns 598 shares of the company’s stock worth $25,000 after buying an additional 508 shares during the period. Hemington Wealth Management raised its stake in shares of Robinhood Markets by 52.2% in the first quarter. Hemington Wealth Management now owns 636 shares of the company’s stock worth $26,000 after buying an additional 218 shares during the period. Wayfinding Financial LLC bought a new position in shares of Robinhood Markets in the first quarter worth about $30,000. CoreCap Advisors LLC raised its stake in shares of Robinhood Markets by 191.6% in the fourth quarter. CoreCap Advisors LLC now owns 837 shares of the company’s stock worth $31,000 after buying an additional 550 shares during the period. Finally, Creative Financial Designs Inc. ADV raised its stake in shares of Robinhood Markets by 750.0% in the fourth quarter. Creative Financial Designs Inc. ADV now owns 850 shares of the company’s stock worth $32,000 after buying an additional 750 shares during the period. 93.27% of the stock is owned by hedge funds and other institutional investors.

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.