We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Robinhood boosted its AI offerings, rolling out cutting-edge agentic trading accounts.
The free trading and investing app is a legitimate rival to Fidelity and other online brokerages.
HOOD boasts 13 different business lines that generate ~$100 million or more in annualized revenue.
Its growth outlook is strong, and its upward EPS revisions land it a Zacks Rank #1 (Strong Buy).
Robinhood Markets, Inc. (HOOD - Free Report) is steadily building its credentials as a financial services giant and a Wall Street technology innovator.
HOOD posted a strong beat-and-raise Q2 that sent its earnings outlook surging, landing it a Zacks Rank #1 (Strong Buy). Robinhood’s earnings and revenue growth outlook highlights its expanding portfolio.
The free trading app has become a legitimate rival to Fidelity and other online brokerages, serving a broader range of everyday retail investors, sophisticated traders, and more.
HOOD, which joined the S&P 500 in September 2025, boasts 13 different business lines that generate ~$100 million or more in annualized revenue, ranging from options and crypto trading to its credit card unit, prediction market, and more.
Robinhood boosted its in-house artificial intelligence offerings, including rolling out cutting-edge agentic trading accounts to fend off broader fears that AI will eat away at its business and the wider online brokerage and financial services industry.
The stock, which has nearly doubled the Zack Tech sector and blown away the S&P 500 since its 2021 IPO, is down ~30% from its October 2025 peaks.
Robinhood's average Zacks price target implies 25% upside from its current levels, and it would need to climb roughly 43% to return to its all-time high. Plus, HOOD is on the verge of a potential technical breakout.
Image Source: Zacks Investment Research
Now might be time for investors to consider buying the beaten-down financial technology stock for long-term upside and near-term breakout potential, especially if more money rotates out of AI stocks trading at all-time highs to start third-quarter earnings season.
Best Non-AI Technology Stocks to Buy Now: Robinhood
Robinhood is closer to a legitimate peer of Fidelity, Charles Schwab, and other online brokerage titans than a meme-stock trading app that users treat like a casino. The firm offers retirement accounts, crypto trading, futures, options, a browser-based desktop trading platform built for active traders, wealth management, prediction markets (to take on Polymarket), and beyond.
HOOD currently operates 13 business lines that each generate ~$100 million or more in annualized revenues, double its total from 2023. The company’s two newest big businesses are its credit card unit and its Robinhood Legend—a browser-based desktop trading platform built for active and intermediate-to-advanced traders.
Image Source: Zacks Investment Research
The trading app powerhouse announced a splashy new AI initiative on September 29, aiming to “put the power of hedge funds in every trader’s pocket.”
The company unveiled its new Robinhood Agents, its agentic AI tools, at its 2026 summit. HOOD said that its “fully embedded AI experience can analyze the market, build strategies, and trade on your behalf around the clock.” On top of that, its “Agent Apps will give your Robinhood Agents another layer of intelligence with institutional-grade data and specialized tools from leading third party providers.”
Furthermore, Robinhood announced plans to launch 24/7 weekend trading for equities and beyond for eligible U.S. customers. Its new AI-boosted efforts and weekend expansion plans are part of its mission to become “the #1 place for active traders.”
Image Source: Zacks Investment Research
The firm more than tripled its revenue between 2022 and 2025, soaring from $1.36 billion to $4.47 billion. HOOD also went from losing -$6.99 a share in 2022 to posting GAAP earnings of +$2.06 per share last year.
Most recently, Robinhood’s total platform assets jumped by 32% YoY to $369 billion in the second quarter, “driven by continued Net Deposits and higher equity valuation.” Its net deposits climbed by an annualized growth rate of 28% in Q2, with its Average Revenue Per User up 24% to $187.
Meanwhile, its total revenue climbed 32% YoY, and Gold Subscribers rose 39% to 4.8 million. Robinhood Gold users pay ($5/mo or $50/yr) for offerings including 3.6% APY on eligible brokerage cash, bigger instant deposits, lower commissions on futures trades, and other perks.
The growing financial services company grew its GAAP earnings by 48% in the second quarter, crushing our Q2 earnings estimates by 41% in the process.
Robinhood’s improving earnings outlook helps it earn a Zacks Rank #1 (Strong Buy) right now. Its recent stretch of positive revisions extends a turnaround that started this summer after its EPS outlook slipped, sparking its pullback. And its Most Accurate estimates came in above its already improved Zacks consensus.
Image Source: Zacks Investment Research
Looking ahead, Robinhood is projected to grow its EPS by over 4% in 2026 and 37% in FY27 to reach $2.94 a share. The nearby chart shows that HOOD is projected to grow its earnings to roughly $3.50 a share in 2028.
On the top line, Robinhood is projected to grow its revenue by 19% in 2026 and 29% in 2027 to reach $6.82 billion, up from $4.47 billion in 2025.
Buy HOOD Stock Now On the Dip and Hold?
Robinhood stock has climbed ~210% since its 2021 IPO, including a massive downturn that was fueled by the 2022 tech-driven bear market. The stock soared ~1,090% over the last three years, blowing away the Magnificent 7, including Nvidia, and many other AI stocks.
The Wall Street tech stock’s run includes its ~30% drop from its early October 2025 records. This means the stock offers ~43% upside if it ever returns to its peaks. Meanwhile, its average Zacks price target implies 25% upside from its current price of roughly $109 a share.
Image Source: Zacks Investment Research
HOOD stock completed the bullish golden cross at the end of July, with its 50-day moving average crossing above its 200-day. More recently, the stock experienced a long-term bullish signal when its 21-week moving average moved above its 50-week in late September.
Robinhood stock is finding buyers 50-day and its longer-term 21-week moving average. The bulls also held their ground at its previous peaks throughout 2026.
Image Source: Zacks Investment Research
HOOD’s selloff, mixed with its strong earnings outlook, has it trading at a 90% discount to its highs at 39.5X forward 12-month earnings.
Robinhood trades at a 70% discount to its highs in terms of its price/earnings-to-growth (PEG) ratio at 1.6 vs. the Zacks Tech sector’s 1.2.
View the Zacks #1 Rank List
Bull of the Day: Robinhood Markets, Inc. (HOOD)
Key Takeaways
Robinhood Markets, Inc. (HOOD - Free Report) is steadily building its credentials as a financial services giant and a Wall Street technology innovator.
HOOD posted a strong beat-and-raise Q2 that sent its earnings outlook surging, landing it a Zacks Rank #1 (Strong Buy). Robinhood’s earnings and revenue growth outlook highlights its expanding portfolio.
The free trading app has become a legitimate rival to Fidelity and other online brokerages, serving a broader range of everyday retail investors, sophisticated traders, and more.
HOOD, which joined the S&P 500 in September 2025, boasts 13 different business lines that generate ~$100 million or more in annualized revenue, ranging from options and crypto trading to its credit card unit, prediction market, and more.
Robinhood boosted its in-house artificial intelligence offerings, including rolling out cutting-edge agentic trading accounts to fend off broader fears that AI will eat away at its business and the wider online brokerage and financial services industry.
The stock, which has nearly doubled the Zack Tech sector and blown away the S&P 500 since its 2021 IPO, is down ~30% from its October 2025 peaks.
Robinhood's average Zacks price target implies 25% upside from its current levels, and it would need to climb roughly 43% to return to its all-time high. Plus, HOOD is on the verge of a potential technical breakout.
Image Source: Zacks Investment Research
Now might be time for investors to consider buying the beaten-down financial technology stock for long-term upside and near-term breakout potential, especially if more money rotates out of AI stocks trading at all-time highs to start third-quarter earnings season.
Best Non-AI Technology Stocks to Buy Now: Robinhood
Robinhood is closer to a legitimate peer of Fidelity, Charles Schwab, and other online brokerage titans than a meme-stock trading app that users treat like a casino. The firm offers retirement accounts, crypto trading, futures, options, a browser-based desktop trading platform built for active traders, wealth management, prediction markets (to take on Polymarket), and beyond.
HOOD currently operates 13 business lines that each generate ~$100 million or more in annualized revenues, double its total from 2023. The company’s two newest big businesses are its credit card unit and its Robinhood Legend—a browser-based desktop trading platform built for active and intermediate-to-advanced traders.
Image Source: Zacks Investment Research
The trading app powerhouse announced a splashy new AI initiative on September 29, aiming to “put the power of hedge funds in every trader’s pocket.”
The company unveiled its new Robinhood Agents, its agentic AI tools, at its 2026 summit. HOOD said that its “fully embedded AI experience can analyze the market, build strategies, and trade on your behalf around the clock.” On top of that, its “Agent Apps will give your Robinhood Agents another layer of intelligence with institutional-grade data and specialized tools from leading third party providers.”
Furthermore, Robinhood announced plans to launch 24/7 weekend trading for equities and beyond for eligible U.S. customers. Its new AI-boosted efforts and weekend expansion plans are part of its mission to become “the #1 place for active traders.”
Image Source: Zacks Investment Research
The firm more than tripled its revenue between 2022 and 2025, soaring from $1.36 billion to $4.47 billion. HOOD also went from losing -$6.99 a share in 2022 to posting GAAP earnings of +$2.06 per share last year.
Most recently, Robinhood’s total platform assets jumped by 32% YoY to $369 billion in the second quarter, “driven by continued Net Deposits and higher equity valuation.” Its net deposits climbed by an annualized growth rate of 28% in Q2, with its Average Revenue Per User up 24% to $187.
Meanwhile, its total revenue climbed 32% YoY, and Gold Subscribers rose 39% to 4.8 million. Robinhood Gold users pay ($5/mo or $50/yr) for offerings including 3.6% APY on eligible brokerage cash, bigger instant deposits, lower commissions on futures trades, and other perks.
The growing financial services company grew its GAAP earnings by 48% in the second quarter, crushing our Q2 earnings estimates by 41% in the process.
Robinhood’s improving earnings outlook helps it earn a Zacks Rank #1 (Strong Buy) right now. Its recent stretch of positive revisions extends a turnaround that started this summer after its EPS outlook slipped, sparking its pullback. And its Most Accurate estimates came in above its already improved Zacks consensus.
Image Source: Zacks Investment Research
Looking ahead, Robinhood is projected to grow its EPS by over 4% in 2026 and 37% in FY27 to reach $2.94 a share. The nearby chart shows that HOOD is projected to grow its earnings to roughly $3.50 a share in 2028.
On the top line, Robinhood is projected to grow its revenue by 19% in 2026 and 29% in 2027 to reach $6.82 billion, up from $4.47 billion in 2025.
Buy HOOD Stock Now On the Dip and Hold?
Robinhood stock has climbed ~210% since its 2021 IPO, including a massive downturn that was fueled by the 2022 tech-driven bear market. The stock soared ~1,090% over the last three years, blowing away the Magnificent 7, including Nvidia, and many other AI stocks.
The Wall Street tech stock’s run includes its ~30% drop from its early October 2025 records. This means the stock offers ~43% upside if it ever returns to its peaks. Meanwhile, its average Zacks price target implies 25% upside from its current price of roughly $109 a share.
Image Source: Zacks Investment Research
HOOD stock completed the bullish golden cross at the end of July, with its 50-day moving average crossing above its 200-day. More recently, the stock experienced a long-term bullish signal when its 21-week moving average moved above its 50-week in late September.
Robinhood stock is finding buyers 50-day and its longer-term 21-week moving average. The bulls also held their ground at its previous peaks throughout 2026.
Image Source: Zacks Investment Research
HOOD’s selloff, mixed with its strong earnings outlook, has it trading at a 90% discount to its highs at 39.5X forward 12-month earnings.
Robinhood trades at a 70% discount to its highs in terms of its price/earnings-to-growth (PEG) ratio at 1.6 vs. the Zacks Tech sector’s 1.2.