Robinhood's Stock Struggles Amid Market Decline
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy HOOD?
Source: Fool
- Market Performance: The stock market has had a rough start in 2026, with the S&P 500 down about 7%, while Robinhood's stock has plummeted 42% in the first three months, indicating significant vulnerability that could shake investor confidence.
- Slowing Revenue Growth: Although Robinhood's revenue grew by 52% last year, the growth rate slowed to 27% in the last three months of 2025, suggesting risks of deceleration that could negatively impact future performance.
- Increased Competition Concerns: As competition in prediction markets intensifies, worries about Robinhood's ability to sustain its rapid growth have escalated, potentially affecting its stock performance and increasing investor unease.
- Buying Opportunity Analysis: Despite current price volatility, Robinhood's P/E ratio has dropped to 32 from over 60 months ago, with analysts setting a target price of $117.48, implying a potential upside of 78% in the short term, making it attractive for long-term investors.
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Analyst Views on HOOD
Wall Street analysts forecast HOOD stock price to rise
20 Analyst Rating
16 Buy
4 Hold
0 Sell
Strong Buy
Current: 66.020
Low
130.00
Averages
156.24
High
181.00
Current: 66.020
Low
130.00
Averages
156.24
High
181.00
About HOOD
Robinhood Markets, Inc. is creating a financial services platform for everyone, regardless of their wealth, income, or background. It uses technology to provide access to the financial system. Its offerings include Brokerage, Robinhood Crypto, Custody, Robinhood Wallet, Robinhood Gold, and Robinhood Gold Card. Its Brokerage services include investing, options trading, fractional trading, recurring investment, access to investing on margin, fully paid securities lending, cash sweep, instant withdrawals, Robinhood retirement, 24-hour market, joint investing accounts, and event contracts. It also offers a variety of ways for its customers to grow their financial knowledge, including Robinhood Learn, In-App Education, Newsfeeds, Sherwood Snacks, and Crypto Learn and Earn. Its self-clearing system, order routing system, data platform, and other back-end infrastructure deliver the capabilities that allow its customers to focus on investing, saving and spending.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Robinhood's Stock Struggles Amid Market Decline
- Market Performance: The stock market has had a rough start in 2026, with the S&P 500 down about 7%, while Robinhood's stock has plummeted 42% in the first three months, indicating significant vulnerability that could shake investor confidence.
- Slowing Revenue Growth: Although Robinhood's revenue grew by 52% last year, the growth rate slowed to 27% in the last three months of 2025, suggesting risks of deceleration that could negatively impact future performance.
- Increased Competition Concerns: As competition in prediction markets intensifies, worries about Robinhood's ability to sustain its rapid growth have escalated, potentially affecting its stock performance and increasing investor unease.
- Buying Opportunity Analysis: Despite current price volatility, Robinhood's P/E ratio has dropped to 32 from over 60 months ago, with analysts setting a target price of $117.48, implying a potential upside of 78% in the short term, making it attractive for long-term investors.
See More
Robinhood Shares Plummet Amidst Rising Competition and Economic Concerns
- Stock Price Plunge: Robinhood's shares have fallen 42% in the first quarter of 2026, reflecting market concerns over its high valuation and increasing competition, resulting in a halving of its market value over the past year, making it one of the worst performers in the S&P 500.
- Economic Slowdown Impact: As signs of economic slowdown emerge, worries about reduced trading volumes from retail investors intensify, potentially further suppressing Robinhood's revenue growth in the coming quarters, despite a 52% revenue increase last year.
- Opportunities in Prediction Markets: Despite challenges, Robinhood's innovations in prediction markets remain attractive, and its stock is currently trading at a price-to-earnings ratio of 32, significantly down from over 60 months ago, making it a potential buy opportunity.
- Analyst Price Target: As of March 30, analysts set a price target of $117.48 for Robinhood, implying an upside of approximately 78% in the short term; while short-term volatility may persist, its long-term outlook remains optimistic.
See More
Bernstein Cuts Price Targets on Robinhood and Coinbase Amid Weak Crypto Sentiment
- Price Target Adjustments: Bernstein lowered the price target for Robinhood from $160 to $130 and for Coinbase from $440 to $330, yet maintained an ‘Outperform’ rating on both stocks, reflecting confidence in their long-term potential despite short-term pressures.
- Market Sentiment Analysis: Amid macroeconomic pressures and weak crypto sentiment, analysts believe both companies may be forming a bottom around the weak first-quarter earnings cycle, suggesting that current market conditions present a good entry point for investors.
- Stock Market Performance: In pre-market trading, both Coinbase and Robinhood stocks rose by 2%, closing at $161 and $66 respectively, indicating sustained investor interest, particularly as retail sentiment around HOOD remained in the ‘bullish’ territory on Stocktwits.
- Industry Outlook: Bernstein noted that despite current market uncertainties, the crypto industry holds significant long-term growth potential, anticipating that overall crypto stocks may bottom out during the upcoming weak first-quarter earnings cycle, indicating that the current weakness is a late-stage correction rather than a long-term decline.
See More
Sysco's Jetro Acquisition Leads to Stock Drop
- Sysco Acquisition Deal: Sysco's agreement to acquire Jetro Restaurant Depot for an enterprise value of $29.1 billion has led to a 4.5% drop in its stock, reflecting market concerns about the integration despite the deal being termed 'immediately accretive' and expected to close in Q3 2027.
- Avis Stock Fluctuation: After a remarkable 48% surge last week, Avis shares fell over 9% as investors took profits amid chaos at U.S. airports, indicating market sensitivity to short-term gains and profit-taking behavior.
- Alcoa Price Surge: Alcoa's stock rose more than 9% as aluminum prices increased by over 4.5% following Iranian missile strikes on critical infrastructure in the Middle East, suggesting a bullish outlook on aluminum demand in the wake of geopolitical tensions.
- CrowdStrike Analyst Support: CrowdStrike shares gained over 2.5% after Wolfe Research upgraded the stock to outperform, with analysts believing the company will benefit from increased cyber risks associated with artificial intelligence, despite ongoing fears of AI disrupting cybersecurity technologies.
See More
Key Stock Market Movers: Nvidia, Eli Lilly, Alcoa, Coinbase, and Strategic Developments
Stock Market Reaction: Stock futures are showing an upward trend on Monday.
Conflict Duration: The war in Iran has now entered its second month.
See More
ROBINHOOD MARKETS INC: BERNSTEIN LOWERS TARGET PRICE FROM $160 TO $130
- Market Update: Robinhood has announced a significant price cut for its target price on Bernstein.
- New Target Price: The new target price is set at $130, down from the previous $160.
See More
Robinhood's Stock Struggles Amid Market Decline
- Market Performance: The stock market has had a rough start in 2026, with the S&P 500 down about 7%, while Robinhood's stock has plummeted 42% in the first three months, indicating significant vulnerability that could shake investor confidence.
- Slowing Revenue Growth: Although Robinhood's revenue grew by 52% last year, the growth rate slowed to 27% in the last three months of 2025, suggesting risks of deceleration that could negatively impact future performance.
- Increased Competition Concerns: As competition in prediction markets intensifies, worries about Robinhood's ability to sustain its rapid growth have escalated, potentially affecting its stock performance and increasing investor unease.
- Buying Opportunity Analysis: Despite current price volatility, Robinhood's P/E ratio has dropped to 32 from over 60 months ago, with analysts setting a target price of $117.48, implying a potential upside of 78% in the short term, making it attractive for long-term investors.
See More
Robinhood Shares Plummet Amidst Rising Competition and Economic Concerns
- Stock Price Plunge: Robinhood's shares have fallen 42% in the first quarter of 2026, reflecting market concerns over its high valuation and increasing competition, resulting in a halving of its market value over the past year, making it one of the worst performers in the S&P 500.
- Economic Slowdown Impact: As signs of economic slowdown emerge, worries about reduced trading volumes from retail investors intensify, potentially further suppressing Robinhood's revenue growth in the coming quarters, despite a 52% revenue increase last year.
- Opportunities in Prediction Markets: Despite challenges, Robinhood's innovations in prediction markets remain attractive, and its stock is currently trading at a price-to-earnings ratio of 32, significantly down from over 60 months ago, making it a potential buy opportunity.
- Analyst Price Target: As of March 30, analysts set a price target of $117.48 for Robinhood, implying an upside of approximately 78% in the short term; while short-term volatility may persist, its long-term outlook remains optimistic.
See More
Bernstein Cuts Price Targets on Robinhood and Coinbase Amid Weak Crypto Sentiment
- Price Target Adjustments: Bernstein lowered the price target for Robinhood from $160 to $130 and for Coinbase from $440 to $330, yet maintained an ‘Outperform’ rating on both stocks, reflecting confidence in their long-term potential despite short-term pressures.
- Market Sentiment Analysis: Amid macroeconomic pressures and weak crypto sentiment, analysts believe both companies may be forming a bottom around the weak first-quarter earnings cycle, suggesting that current market conditions present a good entry point for investors.
- Stock Market Performance: In pre-market trading, both Coinbase and Robinhood stocks rose by 2%, closing at $161 and $66 respectively, indicating sustained investor interest, particularly as retail sentiment around HOOD remained in the ‘bullish’ territory on Stocktwits.
- Industry Outlook: Bernstein noted that despite current market uncertainties, the crypto industry holds significant long-term growth potential, anticipating that overall crypto stocks may bottom out during the upcoming weak first-quarter earnings cycle, indicating that the current weakness is a late-stage correction rather than a long-term decline.
See More
Sysco's Jetro Acquisition Leads to Stock Drop
- Sysco Acquisition Deal: Sysco's agreement to acquire Jetro Restaurant Depot for an enterprise value of $29.1 billion has led to a 4.5% drop in its stock, reflecting market concerns about the integration despite the deal being termed 'immediately accretive' and expected to close in Q3 2027.
- Avis Stock Fluctuation: After a remarkable 48% surge last week, Avis shares fell over 9% as investors took profits amid chaos at U.S. airports, indicating market sensitivity to short-term gains and profit-taking behavior.
- Alcoa Price Surge: Alcoa's stock rose more than 9% as aluminum prices increased by over 4.5% following Iranian missile strikes on critical infrastructure in the Middle East, suggesting a bullish outlook on aluminum demand in the wake of geopolitical tensions.
- CrowdStrike Analyst Support: CrowdStrike shares gained over 2.5% after Wolfe Research upgraded the stock to outperform, with analysts believing the company will benefit from increased cyber risks associated with artificial intelligence, despite ongoing fears of AI disrupting cybersecurity technologies.
See More
Key Stock Market Movers: Nvidia, Eli Lilly, Alcoa, Coinbase, and Strategic Developments
Stock Market Reaction: Stock futures are showing an upward trend on Monday.
Conflict Duration: The war in Iran has now entered its second month.
See More
ROBINHOOD MARKETS INC: BERNSTEIN LOWERS TARGET PRICE FROM $160 TO $130
- Market Update: Robinhood has announced a significant price cut for its target price on Bernstein.
- New Target Price: The new target price is set at $130, down from the previous $160.
See More
