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Investing.com - Goldman Sachs raised its price target on Robinhood Markets (NASDAQ:HOOD) stock to $91.00 from $82.00 on Monday, while maintaining a Buy rating on the online brokerage firm. The stock, currently trading near its 52-week high of $85.55, has delivered an impressive 274% return over the past year. According to InvestingPro data, analyst price targets for HOOD range from $43 to $105.
The investment bank noted that Robinhood reported mixed June monthly metrics, with higher equity and option volumes than consensus data, but lower cryptocurrency trading volumes. Goldman Sachs estimates that June volumes were roughly flat to down month-over-month across product categories. The company’s strong performance is reflected in its revenue growth of nearly 60% over the last twelve months, though InvestingPro analysis indicates the stock is currently trading at a high P/E multiple of 47x.
Specifically, the firm calculated that Robinhood’s estimated volumes for equities, options, and crypto in June were -2%, -9%, and -30% compared to Goldman’s earlier estimates, but +52%, +12%, and -16% versus Street-implied numbers.
Despite lowering its earnings per share estimates for 2025 and 2026 by 7% and 3% respectively, Goldman Sachs maintains that its projections remain 2% and 1% above consensus estimates for those years.
The firm cited Robinhood’s continued product launches and geographic expansion as key factors in taking "a more constructive view on long-term business growth" for the financial services platform.
In other recent news, Robinhood Markets reported significant growth in its platform assets, reaching $255 billion in May, which marks an 89% increase year-over-year. The company also saw net deposits of $3.5 billion for the month, translating to an 18% annualized growth rate. Mizuho (NYSE:MFG) raised its price target for Robinhood to $80, citing strong May results and the potential impact of the upcoming "To Catch a Token" event. Compass Point also increased its price target to $96, highlighting Robinhood’s strong performance and growth trends. The company launched a crypto deposit match program, offering a 1% match on net deposits, with the potential to increase to 2%. Additionally, Robinhood introduced new platform features, including advanced charting and AI insights, to enhance user experience. Meanwhile, Hims & Hers appointed former Robinhood executive Dheerja Kaur as its first Chief Product Officer, emphasizing her role in the company’s global expansion and AI investments.
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