The goal of Robinhood Markets (HOOD) to capture 10 times more business in the next decade is well on course after an almost “too likeable” set of Q4 results.
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Four-star TipRanks-rated analyst Dan Dolev of Mizuho Securities raised his price target on the stock from $65 to $80 and reiterated an Outperform rating after the financial services platform smashed earnings and sales estimates. “There was almost too much to like in the Q4 results,” said Dolev. Investors seemed to agree, with Hood shares rocketing 13% higher in pre-market trading.
Robinhood Going for Gold
In particular, he highlighted HOOD’s marked acceleration in the number of its funded customers and gold subscribers who can gain benefits such as professional research and higher cash interest. Dolev said HOOD’s plans to grow the business by ten times over the next ten years and eyeing up a $600 billion total addressable market – which would be 200 times its 2024 revenue – are “increasingly achievable.” He added that HOOD has “ample resources” to scale new products such as futures, sports events contracts, and new geographies including the UK and Asia. HOOD is also keen, Dolev suggested, to dominate prediction markets in areas such as elections and news, not just sports. “HOOD has proven its ability to grow rapidly,” Dolev said.
Hood has the Momentum
Five-star TipRanks-rated analyst Benjamin Budish may also have been slapping his thigh in merriment as he upped his price target on Robinhood stock to $76 from $54. He kept an Overweight rating on the shares. He said that there were “several solid signs” of momentum continuing into 2025.
Is HOOD a Good Stock to Buy?
On TipRanks, HOOD has a Strong Buy consensus based on 12 Buy and 4 Hold ratings. Its highest price target is $65. HOOD stock’s consensus price target is $53 implying an 5.20% downside.
