(HOOD) Robinhood Markets - Ratings and Ratios
Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US7707001027
HOOD: Stocks, ETFs, Options, Cryptocurrencies, Wallets, Cards
Robinhood Markets, Inc. (NASDAQ:HOOD) is a leading fintech company that has revolutionized retail investing by democratizing access to financial markets. Its platform enables millions of users to trade stocks, ETFs, options, cryptocurrencies, and other assets with zero commission fees. The company has become a go-to destination for younger, tech-savvy investors who value simplicity, transparency, and low barriers to entry.
One of Robinhoods key innovations is its fractional trading feature, which allows users to invest small amounts of money in high-priced stocks or ETFs. This has made it easier for individuals with limited capital to diversify their portfolios. Additionally, the platform offers recurring investments, enabling users to automatically invest fixed amounts into specific assets over time. Other notable features include margin trading, instant withdrawals, and participation in initial public offerings (IPOs), which have traditionally been inaccessible to retail investors.
Robinhood has also placed a strong emphasis on financial education, recognizing that many of its users are new to investing. Its educational resources include Snacks, a digestible news feed that breaks down complex financial stories; Learn, a library of tutorials and guides designed for beginners; and Newsfeeds that aggregate premium content from reputable sources like Barrons and Reuters. The platform also offers In-App Education, which covers investing fundamentals, and Crypto Learn and Earn, a module that teaches users about blockchain and cryptocurrencies while rewarding them with small amounts of crypto for completing lessons.
Beyond its core trading platform, Robinhood has expanded into other financial services. It offers a cash management program that includes a debit card, spending accounts, and wallets. These features are designed to integrate seamlessly with its investing tools, allowing users to manage their finances in one place. The company has also introduced a credit card that rewards users with cash back in the form of stock or crypto, further blurring the lines between banking and investing.
Founded in 2013 and headquartered in Menlo Park, California, Robinhood has grown rapidly, thanks in part to its user-friendly design and viral growth loops. The company has become a cultural phenomenon, particularly among younger investors, and has played a significant role in the retail investing revolution that gained momentum during the COVID-19 pandemic. However, its rapid growth has also led to scrutiny from regulators and criticism from some in the financial establishment who view its gamification of investing with skepticism.
From a financial perspective, Robinhood generates revenue primarily through payment for order flow (PFOF), a practice in which it directs user trades to high-frequency trading firms in exchange for a small fee. The company has also expanded its revenue streams through interest on cash balances, margin lending, and subscription services like Robinhood Gold. Its ability to scale these revenue streams while maintaining its low-cost structure will be critical to its long-term profitability.
As of its latest filings, Robinhood has a market capitalization of approximately $56.4 billion, reflecting its significant valuation despite ongoing debates about its business model and regulatory risks. The companys price-to-earnings (P/E) ratio of 40.9 suggests that investors are betting on its future growth potential, though the lack of a forward P/E ratio highlights the uncertainty surrounding its path to profitability. With a price-to-book (P/B) ratio of 7.08 and a price-to-sales (P/S)
Additional Sources for HOOD Stock
Tweets: X Stocktwits
Fund Manager Positions: Dataroma Stockcircle
HOOD Stock Overview
Market Cap in USD | 39,332m |
Sector | Financial Services |
Industry | Capital Markets |
GiC Sub-Industry | Financial Exchanges & Data |
IPO / Inception | 2021-07-29 |
HOOD Stock Ratings
Growth 5y | 24.8% |
Fundamental | 25.8% |
Dividend | 0.0% |
Rel. Strength Industry | 79.4 |
Analysts | 4.06/5 |
Fair Price Momentum | 32.76 USD |
Fair Price DCF | - |
HOOD Dividends
No Dividends PaidHOOD Growth Ratios
Growth Correlation 3m | 42.8% |
Growth Correlation 12m | 90.1% |
Growth Correlation 5y | 23.7% |
CAGR 5y | 0.94% |
CAGR/Max DD 5y | 0.01 |
Sharpe Ratio 12m | 1.86 |
Alpha | 91.81 |
Beta | 3.44 |
Volatility | 119.03% |
Current Volume | 47786.3k |
Average Volume 20d | 46934.9k |
As of March 15, 2025, the stock is trading at USD 36.02 with a total of 47,786,339 shares traded.
Over the past week, the price has changed by -19.67%, over one month by -43.54%, over three months by -10.40% and over the past year by +109.91%.
Neither. Based on ValueRay Fundamental Analyses, Robinhood Markets is currently (March 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 25.82 and therefor a neutral outlook according to the companies health.
Based on ValueRays Analyses, Dividends and Discounted-Cash-Flow, the Fair Value of HOOD as of March 2025 is 32.76. This means that HOOD is currently overvalued and has a potential downside of -9.05%.
Robinhood Markets has received a consensus analysts rating of 4.06. Therefor, it is recommend to buy HOOD.
- Strong Buy: 6
- Buy: 6
- Hold: 5
- Sell: 0
- Strong Sell: 0
According to ValueRays Forecast Model, HOOD Robinhood Markets will be worth about 39.3 in March 2026. The stock is currently trading at 36.02. This means that the stock has a potential upside of +9.13%.
Issuer | Forecast | Upside |
---|---|---|
Wallstreet Target Price | 68.8 | 91.1% |
Analysts Target Price | 48.5 | 34.7% |
ValueRay Target Price | 39.3 | 9.1% |