HOOD Robinhood Markets, Inc. - Fundamental Analysis
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HOOD Stock | Fundamental Analysis & Investment Insights
NASDAQ
Financial Services
Capital Markets
Current Price
Live
$108.74
Analyst Target
$149.72
+37.7%
Upside
52W High
$153.86
52W Low
$29.66
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 17, 2026
Market cap
$97.78B
P/E
45.5
ROE
27.8%
Profit margin
52.2%
Debt/Equity
1.89
Dividend yield
N/A
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
68%
Analysis Accuracy
HOOD exhibits mixed financial health with a Piotroski F-Score of 5/9, indicating stable but not robust fundamentals. While profitability metrics are exceptionally strong—evidenced by 52.19% profit margin and 27.82% ROE—the stock trades at a significant premium to both Graham-based value ($22.64) and even growth-adjusted intrinsic value ($70.51), currently priced at $108.74. Aggressive valuation multiples (P/E 45.50, Price/Sales 23.26) are supported by explosive YoY revenue (100%) and earnings growth (259.5%), though insider selling and a bearish technical trend raise caution. Analysts maintain a 'buy' recommendation, but recent price weakness and high multiple compression risk suggest limited near-term upside.
Key Strengths
Exceptional profitability with 52.19% net margin and 51.80% operating margin
Outstanding year-over-year revenue growth of 100.00% and earnings growth of 259.50%
Strong return on equity (27.82%) well above sector average (23.50%)
Consistent earnings beat streak with 3 out of last 4 quarters exceeding estimates
High gross margin of 92.25% indicating strong pricing power and low cost of sales
Key Risks
Piotroski F-Score of 5 indicates only moderate financial health, not strong
Extremely high valuation: P/E of 45.50 vs sector average of 24.49
Current price ($108.74) significantly above Graham Number ($22.64) and intrinsic value ($70.51)
Bearish insider activity: $48.26M in net insider sales over last 6 months
Technical trend score of 0/100 signals strong near-term bearish momentum
AI Fair Value Estimate
Based on comprehensive analysis
$75.0
-31.0% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
48
Moderate
35
80
60
55
10
AI Verdict
Moderate potential offset by high valuation and technical weakness
Key drivers: High profitability and growth, Rich valuation multiples, Bearish insider and technical signals, Stable but not strong financial health (Piotroski 5), Analyst optimism despite near-term headwinds
Confidence
70%
Value
35/100
Ref P/E, PEG, Graham Number
Positives
- Intrinsic value estimate of $70.51 suggests some underlying value
Watchpoints
- Current price 53% above intrinsic value
- P/E of 45.50 far above sector average of 24.49
- Price/Sales of 23.26 indicates extreme premium
Future
80/100
Ref Growth rates
Positives
- 100.00% YoY revenue growth
- 259.50% YoY earnings growth
- Q/Q earnings growth of 270.70%
- Consistent earnings surprises averaging +21.29% over last 4 quarters
Watchpoints
No urgent risks highlighted.
Past
60/100
Ref Historical trends
Positives
- 13 out of 19 quarters beat EPS estimates
- Strong 3-year price appreciation of +1042.2%
Watchpoints
- Recent price weakness: -6.1% over last month
- Earnings misses in 2023 and early 2022
Health
55/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Piotroski F-Score of 5/9 indicates stable financial condition
- Current ratio (1.11) and quick ratio (1.05) suggest short-term liquidity adequacy
Watchpoints
- Debt/Equity ratio of 1.89 is high, above sector average of 1.05
- Altman Z-Score unavailable, limiting distress risk assessment
Dividend
10/100
Ref Yield, Payout
Positives
No standout positives identified.
Watchpoints
- No dividend policy: Dividend yield N/A, payout ratio 0%
- Dividend Strength score of 0/100
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$108.74
Analyst Target
$149.72
Upside/Downside
+37.7%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for HOOD and closest competitors.
Updated 2026-01-16
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
HOOD
Robinhood Markets, Inc.
Primary
|
+212.3% | +1042.2% | +136.0% | -0.9% | -6.1% | -5.7% |
|
BMO
Bank of Montreal
Peer
|
+120.0% | +57.5% | +42.1% | +21.6% | +5.5% | +0.9% |
|
BNS
The Bank of Nova Scotia
Peer
|
+76.6% | +68.7% | +49.2% | +32.2% | +1.1% | +1.9% |
|
CME
CME Group Inc.
Peer
|
+107.0% | +88.5% | +33.3% | +4.1% | +6.3% | +3.1% |
|
BCS
Barclays PLC
Peer
|
+313.1% | +229.8% | +82.1% | +34.6% | +2.2% | +0.1% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
45.5
Forward P/E
41.69
PEG Ratio
N/A
P/B Ratio
11.41
P/S Ratio
23.26
EV/Revenue
22.5
EV/EBITDA
N/A
Market Cap
$97.78B
Profitability
Profit margins and return metrics
Profit Margin
52.19%
Operating Margin
51.8%
Gross Margin
92.25%
ROE
27.82%
ROA
5.18%
Growth
Revenue and earnings growth rates
Revenue Growth
+100.0%
Earnings Growth
+259.5%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+270.7%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
1.89
High debt
Current Ratio
1.11
Good
Quick Ratio
1.05
Good
Cash/Share
$21.58
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-10
$N/A
2025-11-05
$0.68
+10.9% surprise
2025-07-30
$0.5
+39.5% surprise
2025-04-30
$0.37
+13.5% surprise
Financial Services Sector Comparison
Comparing HOOD against 208 companies in the Financial Services sector
(5 bullish, 111 neutral, 92 bearish)
P/E Ratio
45.5
This Stock
vs
30.37
Sector Avg
+49.8%
(Expensive)
Return on Equity (ROE)
27.82%
This Stock
vs
-7.62%
Sector Avg
-465.0%
(Below Avg)
Profit Margin
52.19%
This Stock
vs
82.75%
Sector Avg
-36.9%
(Weaker)
Debt to Equity
1.89
This Stock
vs
1.48
Sector Avg
+27.9%
(Higher)
Revenue Growth
100.0%
This Stock
vs
28.35%
Sector Avg
+252.8%
(Fast Growth)
Current Ratio
1.11
This Stock
vs
3.81
Sector Avg
-70.9%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
HOOD
Robinhood Markets, Inc.
|
NEUTRAL | $97.78B | 45.5 | 27.8% | 52.2% | $108.74 | |
|
BMO
Bank of Montreal
|
NEUTRAL | $98.97B | 16.77 | 10.1% | 26.7% | $137.69 | |
|
BNS
The Bank of Nova Scotia
|
NEUTRAL | $93.29B | 18.17 | 9.0% | 24.6% | $74.87 | |
|
CME
CME Group Inc.
|
NEUTRAL | $102.78B | 27.62 | 13.3% | 58.9% | $285.04 | |
|
BCS
Barclays PLC
|
BEARISH | $90.49B | 12.02 | 9.4% | 26.6% | $26.2 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-01-05 | TENEV VLADIMIR | Chief Executive Officer | Stock Award | 375,000 | - |
| 2026-01-05 | PINNER JEFFREY TSVI | Chief Technology Officer | Sale | 5,864 | $712,984 |
| 2026-01-05 | GALLAGHER DANIEL MARTIN JR | Officer | Sale | 10,000 | $1,215,799 |
| 2026-01-05 | TENEV VLADIMIR | Chief Executive Officer | Sale | 375,000 | $45,609,760 |
| 2025-12-31 | RUBINSTEIN JONATHAN J | Director | Stock Award | 258 | - |
| 2025-12-31 | SEGAL SUSAN L | Director | Stock Award | 176 | - |
| 2025-12-31 | MALKA MEYER | Director | Stock Award | 129 | - |
| 2025-12-31 | PAYNE CHRISTOPHER D | Director | Stock Award | 173 | - |
| 2025-12-31 | BHATT BAIJU PRAFULKUMAR | Director | Stock Award | 110 | - |
| 2025-12-31 | HEGEMAN JOHN WILLIAM | Director | Stock Award | 129 | - |
| 2025-12-31 | LOOP PAULA | Director | Stock Award | 801 | - |
| 2025-12-31 | WARNICK JASON | Chief Financial Officer | Stock Award | 19,290 | - |
| 2025-12-31 | TRESEDER OLUWADARA JOHNSON | Director | Stock Award | 801 | - |
| 2025-12-31 | BHATT BAIJU PRAFULKUMAR | Director | Stock Award | 801 | - |
| 2025-12-31 | ZOELLICK ROBERT B. | Director | Stock Award | 801 | - |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
21 analysts
Argus Research
2026-01-09
Buy
Barclays
2026-01-08
Overweight
Overweight
Morgan Stanley
2025-12-22
Equal-Weight
Equal-Weight
Truist Securities
2025-12-17
Buy
Barclays
2025-12-12
Overweight
Overweight
Cantor Fitzgerald
2025-12-11
Overweight
Overweight
B of A Securities
2025-12-10
Buy
Buy
Needham
2025-12-05
Buy
Buy
Needham
2025-11-26
Buy
Buy
Citizens
2025-11-07
Market Outperform
Market Outperform
Past News Coverage
Recent headlines mentioning HOOD from our newsroom.
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No matching news yet.