Robinhood Stock Is Rising Thursday: What's Going On?

by Adam Eckert Benzinga Staff Writer

Zinger Key Points

Robinhood says total platform assets jumped to an all-time high of more than $250 billion in May.
Robinhood's year-to-date net deposits are up 40% year-over-year to approximately $28 billion.
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Robinhood Markets Inc HOOD shares are moving higher Thursday after the company provided an update on operating metrics for May in connection with a conference presentation.

What To Know: Robinhood’s chief brokerage officer Steve Quirk will present at the Piper Sandler Global Exchange & Trading Conference on Thursday. Ahead of the event, Robinhood provided a series of updates on its May operating data.

Robinhood said total platform assets jumped to an all-time high of more than $250 billion last month. The company noted that net deposits moderated to approximately $3.5 billion after customer promotions came to a close in April, while year-to-date net deposits were up 40% year-over-year to approximately $28 billion.

Robinhood also said trading volumes climbed in May with equity notional trading volumes up 10% from April, options contracts up more than 5% to an all-time high and crypto trading volumes up more than 30% on a month-over-month basis.

Margin balances jumped to an all-time high of approximately $9 billion at the end of the month and cash sweep balances increased to an all-time-high of more than $30 billion as of the end of May.

Robinhood noted that it plans to release complete operating data for May in the coming weeks.

The S&P 500 Index’s quarterly rebalancing is expected to be announced on Friday. BofA said this week that Robinhood is a “prime candidate” to be added to the index this quarter, per Bloomberg. When a company is added to the S&P 500, it often sparks buying from funds, which could act as a catalyst for the stock.

HOOD Price Action: Robinhood shares were up 2.78% at $74.28 at the time of publication Thursday, according to Benzinga Pro. The stock has now climbed more than 93% since the start of the year.

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