Why Robinhood Markets, Inc. (HOOD) Dipped More Than Broader Market Today

Robinhood Markets, Inc. (HOOD) closed at $118.13 in the latest trading session, marking a -1.92% move from the prior day. This move lagged the S&P 500's daily loss of 0.03%. Meanwhile, the Dow experienced a drop of 0.04%, and the technology-dominated Nasdaq saw a decrease of 0.09%. The company's stock has dropped by 6.05% in the past month, falling short of the Finance sector's gain of 4.37% and the S&P 500's gain of 2.57%.The upcoming earnings release of Robinhood Markets, Inc. will be of great interest to investors. The company is predicted to post an EPS of $0.57, indicating a 5.56% growth compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.29 billion, indicating a 27.08% increase compared to the same quarter of the previous year. For the full year, the Zacks Consensus Estimates are projecting earnings of $1.99 per share and revenue of $4.48 billion, which would represent changes of +82.57% and +51.94%, respectively, from the prior year. Investors should also note any recent changes to analyst estimates for Robinhood Markets, Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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, 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. Within the past 30 days, our consensus EPS projection has moved 2.21% higher. As of now, Robinhood Markets, Inc. holds a Zacks Rank of #1 (Strong Buy). In terms of valuation, Robinhood Markets, Inc. is presently being traded at a Forward P/E ratio of 60.48. This denotes a premium relative to the industry average Forward P/E of 18.38. We can additionally observe that HOOD currently boasts a PEG ratio of 2.2. 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. The Financial - Investment Bank industry had an average PEG ratio of 1.11 as trading concluded yesterday. The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 52, putting it in the top 22% of all 250+ industries. The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions. Zacks Naming Top 10 Stocks for 2026Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Robinhood Markets, Inc. (HOOD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks