Update shared on26 Sep 2025
Fair value Increased 3.31%Analysts have raised Robinhood’s price target to $118.80, citing rapid product innovation, robust trading activity, international expansion—especially in Europe—and improving financial performance across equities and crypto as key growth drivers.
Analyst Commentary
- Bullish analysts cite accelerated product velocity with rapid rollout of key features, including short selling, expanded AI tools, a new social trading platform, and futures trading, which are expected to drive user engagement and expand total addressable market.
- Elevated trading activity and robust event contract volumes, particularly through partnerships such as Kalshi, are materially boosting annualized revenues and supporting upward estimate revisions.
- Improved financial performance, including earnings beats, expanded EBITDA margins, and strong sales driven by both product and geographic expansion in core and crypto businesses, have led to upward price target revisions.
- International expansion—most notably into European markets with innovative offerings like tokenized U.S. equities and perpetual crypto futures—is contributing to broadening Robinhood's market opportunity and user base.
- Optimism about the regulatory landscape for digital assets and Robinhood's diversified equities-crypto-financial services model are expected to sustain growth, while product ecosystem improvements position Robinhood for further share gains across trading and financial services.
What's in the News
- World Liberty Financial is preparing to launch a debit card integrated with its stablecoin and app, aiming to compete with offerings from Robinhood by providing similar functionalities (The Block).
- Cathie Wood's ARK Investment purchased 33,800 shares of Robinhood on September 17, 2025.
- Robinhood, along with other fintech companies, signed a letter urging the Trump administration to block proposed U.S. bank data access fees, citing concerns about innovation and barriers to financial freedom (Bloomberg).
- Bank of America raised its price target on Robinhood to $119 from $112, maintaining a Buy rating after Robinhood's Q2 earnings exceeded expectations by 40% due to strong sales and expense management.
- World Liberty Financial also signed a memorandum of understanding with Bithumb, facilitating future collaboration as it launches new financial products designed to compete in the same space as Robinhood (The Block).
Valuation Changes
Summary of Valuation Changes for Robinhood Markets
- The Consensus Analyst Price Target has risen slightly from $114.99 to $118.80.
- The Consensus Revenue Growth forecasts for Robinhood Markets has risen from 14.0% per annum to 15.0% per annum.
- The Future P/E for Robinhood Markets remained effectively unchanged, moving only marginally from 72.23x to 72.59x.
Disclaimer
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