Robinhood’s Baiju Bhatt sells $9.66 million in class a common stock

Published 25/03/2025, 22:34
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Baiju Bhatt, a director at Robinhood Markets , Inc. (NASDAQ:HOOD), recently sold 223,528 shares of the company’s Class A common stock, according to a filing with the Securities and Exchange Commission. The shares were sold at an average price of $43.21, amounting to a total transaction value of approximately $9.66 million. The stock, which has surged over 150% in the past year and currently trades at $48.16, has shown remarkable momentum according to InvestingPro data.

The transaction, executed on March 21, 2025, was part of a pre-arranged trading plan under Rule 10b5-1, adopted by the Baiju Prafulkumar Bhatt Living Trust. This sale resulted in the automatic conversion of Class B common stock into Class A common stock upon execution. With a market capitalization of $42.65 billion and trading at a P/E ratio of 30x, Robinhood commands premium market multiples.

Following this transaction, Bhatt’s direct holdings include 5,042 shares of Class A common stock. Additionally, the filing notes a previous transfer of 232,097 shares of Class B common stock to the Living Trust, reflecting a change in the form of beneficial ownership without altering Bhatt’s pecuniary interest. For deeper insights into Robinhood’s valuation and 12 additional exclusive ProTips, visit InvestingPro.

In other recent news, Robinhood is under investigation by Massachusetts’ top securities regulator over its decision to launch a prediction-markets hub, which allows users to bet on various events, including college basketball tournaments. This development comes as the state issued a subpoena requesting information on brokerage account users involved in trading contracts related to these sports events. Meanwhile, analyst firms have been weighing in on Robinhood’s future, with KeyBanc maintaining an Overweight rating and a $75 price target, citing confidence in the company’s product development and revenue diversification strategies. Compass Point initiated coverage with a Buy rating and a $61 price target, highlighting potential revenue growth from cryptocurrency users and favorable regulatory conditions.

Mizuho (NYSE:MFG) Securities also reiterated its Outperform rating with an $80 price target, emphasizing Robinhood’s expansion into prediction markets as a strategic move to align with the growing mobile sports betting trend. In the cryptocurrency space, Robinhood plans to integrate Bitstamp crypto exchange services by 2025, aiming to broaden its offerings to institutional markets. Additionally, Robinhood is collaborating with Kalshi to launch a platform for predicting outcomes in politics, economics, and sports, regulated by the CFTC. These recent developments indicate Robinhood’s continued efforts to diversify its offerings and expand its user base.

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