In-Depth Examination Of 6 Analyst Recommendations For Robinhood Markets

Robinhood Markets HOOD underwent analysis by 6 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $14.08, along with a high estimate of $23.00 and a low estimate of $10.50. Marking an increase of 10.87%, the current average surpasses the previous average price target of $12.70.

Investigating Analyst Ratings: An Elaborate Study

The standing of Robinhood Markets among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Robinhood Markets. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Robinhood Markets compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Robinhood Markets's stock. This analysis reveals shifts in analysts' expectations over time.

Capture valuable insights into Robinhood Markets's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Robinhood Markets analyst ratings.

Get to Know Robinhood Markets Better

Robinhood Markets Inc is creating a modern financial services platform. It designs its own products and services and delivers them through a single, app-based cloud platform supported by proprietary technology. Its vertically integrated platform has enabled the introduction of new products and services such as cryptocurrency trading, dividend reinvestment, fractional shares, recurring investments, and IPO Access. It earns transaction-based revenues from routing user orders for options, equities, and cryptocurrencies to market makers when a routed order is executed.

Unraveling the Financial Story of Robinhood Markets

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Over the 3 months period, Robinhood Markets showcased positive performance, achieving a revenue growth rate of 29.36% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Financials sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -18.2%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Robinhood Markets's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -1.24%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.31%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Robinhood Markets's debt-to-equity ratio is below the industry average at 0.49, reflecting a lower dependency on debt financing and a more conservative financial approach.

Analyst Ratings: Simplified

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.