Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

ROBINHOOD MARKETS, INC.

(HOOD)
  Report
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Robinhood closes at $34.82 in grim stock market debut

07/29/2021 | 09:14pm EDT
FILE PHOTO: The welcome screen for the Robinhood App is displayed on a screen

(Reuters) - Robinhood Markets Inc's shares closed more than 8% lower at $34.82 per share on their first day of trading, as many investors who used the popular trading app to participate in this year's "meme" stock trading frenzy snubbed its initial public offering (IPO)

Only 16 of the 99 U.S.-listed companies that were worth at least $10 billion when they went public declined on their first day, according to Dealogic, whose data goes back to 1995.

"A year ago we were trading the stock at 15 bucks a share. And our most recent trades in early June were $55 a share (in the private market)," said Glen Anderson, president of Rainmaker Securities, a secondary trading platform for private pre-IPO shares. Anderson said they traded about $200 million in Robinhood stocks in the private market last year.

Robinhood's easy-to-use interface has made it a hit among young investors trading from home on cryptocurrencies and stocks such as GameStop Corp during the COVID-19 pandemic. Some IPO investors stayed on the sidelines, citing concerns over its frothy valuation, the risk of regulators cracking down on Robinhood's business, and lingering anger with the company's imposition of trading curbs when the meme stock trading frenzy flared in January.

In an unusual move, Robinhood had said it would reserve between 20% and 35% of its shares for its users.

Many IPOs benefit from excluding retail investors, who end up fueling a first-day trading pop by snapping up shares in the open market. By letting many retail investors under the IPO tent, Robinhood made big gains less likely for investors on the first day."The market believes that institutional investors will hold on for a longer time, and retail investors are more likely to flip," said Reena Aggarwal, professor of finance at Georgetown University.

Robinhood shares priced at $38 in the IPO.

Stanford University roommates Vlad Tenev and Baiju Bhatt founded the company in 2013. The two will hold a majority of the voting power, with Bhatt keeping around 39% of the outstanding stock and Tenev about 26.2%.

"It maybe seemed like a good idea to offer (the IPO) to your customers, but it might not be very helpful when it comes to controlling how the shares are allocated and the beginning of the trading of this IPO," said Kathleen Smith at Renaissance Capital in Greenwich, Connecticut.

Robinhood enraged some investors and U.S. lawmakers this year when it restricted trading in some popular stocks following a 10-fold rise in deposit requirements at its clearinghouse. It has been at the center of many regulatory probes.

The company disclosed this week that it has received inquiries from U.S. regulators looking into whether its employees traded shares of GameStop and AMC Entertainment Holdings, Inc before the trading curbs were placed at the end of January.

(Reporting by Echo Wang in New York; Noor Zainab Hussain, Ankur Banerjee and Niket Nishant in Bengaluru; Editing by Arun Koyyur and Howard Goller)

By Echo Wang and Noor Zainab Hussain


ę Reuters 2021
All news about ROBINHOOD MARKETS, INC.
12:16aNEWS HIGHLIGHTS : Top Financial Services News of the Day
DJ
09/24ROBINHOOD MARKETS : Deutsche Bank Adjusts Robinhood Markets PT to $44 from $45, Maintains ..
MT
09/23The student becomes the master
09/22ROBINHOOD MARKETS : to Test Crypto Wallets as Digital Currency Trading Growth Bolsters Rev..
MT
09/22ROBINHOOD MARKETS : to begin testing crypto wallets, with broader launch in early 2022
RE
09/21ROBINHOOD MARKETS : Seen Posting Profit By 2023 as Crypto and Options Revenue Surges Amid ..
MT
09/21GLOBAL MARKETS LIVE : Vivendi, EssilorLuxottica, Compass, StageCoach, Allianz...
09/21Today on Wall Street: Markets at a pivot point
09/20ROBINHOOD MARKETS : testing crypto wallet, cryptocurrency transfer features- Bloomberg New..
RE
09/17Wall Street ends rollercoaster week sharply lower
RE
More news
Analyst Recommendations on ROBINHOOD MARKETS, INC.
More recommendations
Financials (USD)
Sales 2021 1 992 M - -
Net income 2021 -3 041 M - -
Net cash 2021 1 083 M - -
P/E ratio 2021 -5,33x
Yield 2021 -
Capitalization 38 614 M 38 614 M -
EV / Sales 2021 18,8x
EV / Sales 2022 14,0x
Nbr of Employees 2 800
Free-Float 78,4%
Chart ROBINHOOD MARKETS, INC.
Duration : Period :
Robinhood Markets, Inc. Technical Analysis Chart | HOOD | US7707001027 | MarketScreener
Technical analysis trends ROBINHOOD MARKETS, INC.
Short TermMid-TermLong Term
TrendsNeutralNeutralNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 13
Last Close Price 44,91 $
Average target price 53,00 $
Spread / Average Target 18,0%
EPS Revisions
Managers and Directors
Vladimir Tenev Chairman, President & Chief Executive Officer
Jason Warnick Chief Financial Officer
Gretchen Howard Chief Operating Officer
Scott D. Sandell Independent Director
Jan Hammer Independent Director
Sector and Competitors
1st jan.Capi. (M$)
ROBINHOOD MARKETS, INC.0.00%38 614
ADYEN N.V.40.21%95 250
FIDELITY NATIONAL INFORMATION SERVICES, INC.-13.74%75 377
WORLDLINE-15.08%22 060
BROADRIDGE FINANCIAL SOLUTIONS, INC.10.32%19 634
FUTU HOLDINGS LIMITED103.76%13 673