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Stock impact report

This Unstoppable Stock Has 150% Upside, According to a Select Wall Street Firm -- but I'm Not Buying It [Yahoo! Finance]

Robinhood Markets, Inc. - Class A (HOOD) 
Company Research Source: Yahoo! Finance
Robinhood Markets (NASDAQ: HOOD) cashed in on the euphoria as trading activity surged across the board on its investing platform throughout the year. As a result, Robinhood stock is up by a whopping 115% over the past 12 months, and Wall Street is growing increasingly bullish on the company's prospects. The Wall Street Journal tracks 21 analysts who cover the stock, and the majority have assigned it the highest possible buy rating, with none recommending to sell. One prominent Wall Street firm, Bernstein, even thinks the stock could soar by another 150% from its current price. Here's why I'm skeptical. Robinhood generated a record $1 billion in total revenue during the fourth quarter of 2024. There are two primary components to that figure: transaction revenue, which comes from commissions the company earns when processing trades for its clients, and net interest revenue, which the company earns on its cash reserves, the cash it holds for clients, and on margin loans. Transact Show less Read more
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