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Robinhood Markets, Inc. (HOOD) Falls More Steeply Than Broader Market: What Investors Need to Know
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Robinhood Markets, Inc. (HOOD - Free Report) ended the recent trading session at $104.42, demonstrating a -5.46% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 1.21%, and the Nasdaq, a tech-heavy index, lost 0.01%.
The company's stock has climbed by 20.67% in the past month, exceeding the Finance sector's loss of 2.66% and the S&P 500's loss of 2.43%.
The investment community will be paying close attention to the earnings performance of Robinhood Markets, Inc. in its upcoming release. The company is expected to report EPS of $0.53, down 13.11% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.38 billion, up 7.97% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $2.11 per share and a revenue of $5.23 billion, demonstrating changes of +2.93% and +16.83%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Robinhood Markets, Inc. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.04% higher. Robinhood Markets, Inc. currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Robinhood Markets, Inc. is presently trading at a Forward P/E ratio of 52.29. This signifies a premium in comparison to the average Forward P/E of 14.05 for its industry.
Meanwhile, HOOD's PEG ratio is currently 2.25. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 0.99 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 71, positioning it in the top 29% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
View the Zacks #1 Rank List
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Robinhood Markets, Inc. (HOOD) Falls More Steeply Than Broader Market: What Investors Need to Know
Robinhood Markets, Inc. (HOOD - Free Report) ended the recent trading session at $104.42, demonstrating a -5.46% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 1.21%, and the Nasdaq, a tech-heavy index, lost 0.01%.
The company's stock has climbed by 20.67% in the past month, exceeding the Finance sector's loss of 2.66% and the S&P 500's loss of 2.43%.
The investment community will be paying close attention to the earnings performance of Robinhood Markets, Inc. in its upcoming release. The company is expected to report EPS of $0.53, down 13.11% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.38 billion, up 7.97% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $2.11 per share and a revenue of $5.23 billion, demonstrating changes of +2.93% and +16.83%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Robinhood Markets, Inc. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.04% higher. Robinhood Markets, Inc. currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Robinhood Markets, Inc. is presently trading at a Forward P/E ratio of 52.29. This signifies a premium in comparison to the average Forward P/E of 14.05 for its industry.
Meanwhile, HOOD's PEG ratio is currently 2.25. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 0.99 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 71, positioning it in the top 29% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.