Robinhood Markets, Inc. (HOOD) ended the recent trading session at $80.56, demonstrating a -2.01% change from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 0.57%. Meanwhile, the Dow lost 1.61%, and the Nasdaq, a tech-heavy index, lost 0.26%.
Prior to today's trading, shares of the company had gained 1.97% outpaced the Finance sector's loss of 2.87% and the S&P 500's loss of 0.15%.
Analysts and investors alike will be keeping a close eye on the performance of Robinhood Markets, Inc. in its upcoming earnings disclosure. In that report, analysts expect Robinhood Markets, Inc. to post earnings of $0.55 per share. This would mark year-over-year growth of 48.65%. Alongside, our most recent consensus estimate is anticipating revenue of $1.29 billion, indicating a 38.97% upward movement from the same quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.36 per share and a revenue of $5.5 billion, indicating changes of +15.12% and +22.94%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Robinhood Markets, Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 4.73% downward. Robinhood Markets, Inc. presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Robinhood Markets, Inc. currently has a Forward P/E ratio of 34.78. This expresses a premium compared to the average Forward P/E of 13.43 of its industry.
Investors should also note that HOOD has a PEG ratio of 1.66 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Financial - Investment Bank industry stood at 1.06 at the close of the market yesterday.
The Financial - Investment Bank industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 24, positioning it in the top 10% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Robinhood Markets, Inc. (HOOD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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