Robinhood Markets (NASDAQ:HOOD) Trading Down 7.8% – Here’s What Happened

17 Jan 2026, 17:59 by Scott Moore · The Cerbat Gem

Robinhood Markets, Inc. (NASDAQ:HOOD – Get Free Report) shares fell 7.8% on Thursday . The stock traded as low as $110.13 and last traded at $110.3040. 32,782,512 shares were traded during trading, an increase of 51% from the average session volume of 21,712,963 shares. The stock had previously closed at $119.67.

Robinhood Markets News Summary

Here are the key news stories impacting Robinhood Markets this week:

Positive Sentiment: Traders saw a significant “Power Inflow” alert — an order‑flow signal that often precedes buying activity and has driven short‑term lifts in the stock. Robinhood Shares Rise 3% After Key Trading Signal
Positive Sentiment: Brokerage consensus is constructive — HOOD recently received an average rating of “Moderate Buy,” which can support investor confidence and limit downside from short‑term headlines. Robinhood Markets, Inc. (NASDAQ:HOOD) Receives Average Rating of “Moderate Buy” from Brokerages
Positive Sentiment: Product strategy: Robinhood is emphasizing crypto staking as a key part of its 2026 crypto roadmap — a potential revenue diversification and monetization lever if execution and adoption follow. Robinhood Identifies Staking as the Cornerstone of Its 2026 Crypto Strategy
Neutral Sentiment: CEO messaging highlights long‑term themes (AI, innovation and broader retail investing growth), which support the narrative but are unlikely to move the stock near term versus regulatory news. AI won’t kill your job, but it will change what ‘real work’ means, Robinhood CEO says
Neutral Sentiment: Upcoming earnings remain a headline risk/opportunity — previews and analyst estimates mean the next report could amplify moves in either direction. What you need to know ahead of Robinhood Markets’ earnings release
Negative Sentiment: Regulatory risk: Momentum stalled on the CLARITY Act in the U.S. Senate, reigniting investor concern about crypto regulation and directly pressuring crypto‑exposed brokers like Robinhood. That legislative uncertainty is the primary near‑term negative. Robinhood stock is stuck in a bear market: will it rebound soon?
Negative Sentiment: Market reaction: Crypto peers (e.g., Coinbase) and Robinhood both sold off after the Senate bill stalled, showing the sector correlation amplifies HOOD downside when regulatory progress stalls. Coinbase (COIN), Robinhood (HOOD) Tumble As Senate Crypto Bill Stalls: What It Means For Both Stocks

Analyst Upgrades and Downgrades

HOOD has been the subject of several recent research reports. Cantor Fitzgerald lowered their target price on Robinhood Markets from $155.00 to $152.00 and set an “overweight” rating for the company in a report on Thursday, December 11th. Mizuho boosted their price objective on Robinhood Markets from $145.00 to $172.00 and gave the company an “outperform” rating in a research report on Thursday, November 6th. Piper Sandler reaffirmed an “overweight” rating on shares of Robinhood Markets in a research report on Monday, January 5th. Morgan Stanley raised their target price on Robinhood Markets from $146.00 to $147.00 and gave the company an “equal weight” rating in a research note on Monday, December 22nd. Finally, JMP Securities boosted their price target on shares of Robinhood Markets from $130.00 to $170.00 and gave the company a “market outperform” rating in a report on Thursday, October 9th. One investment analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Robinhood Markets presently has an average rating of “Moderate Buy” and a consensus target price of $136.62.

Read Our Latest Analysis on Robinhood Markets

Robinhood Markets Trading Down 1.5%

The firm has a 50-day moving average of $121.17 and a 200 day moving average of $119.07. The stock has a market capitalization of $97.78 billion, a price-to-earnings ratio of 45.12, a PEG ratio of 1.75 and a beta of 2.44.

Robinhood Markets (NASDAQ:HOOD – Get Free Report) last released its quarterly earnings results on Wednesday, November 5th. The company reported $0.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.41 by $0.20. The company had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.15 billion. Robinhood Markets had a return on equity of 21.74% and a net margin of 52.19%.The company’s revenue for the quarter was up 100.0% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.17 earnings per share. Equities research analysts predict that Robinhood Markets, Inc. will post 1.35 EPS for the current fiscal year.

Insider Activity at Robinhood Markets

In other news, CEO Vladimir Tenev sold 375,000 shares of the stock in a transaction that occurred on Monday, January 5th. The shares were sold at an average price of $121.63, for a total value of $45,611,250.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Daniel Martin Gallagher, Jr. sold 120,000 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $132.13, for a total transaction of $15,855,600.00. Following the transaction, the insider owned 430,012 shares in the company, valued at $56,817,485.56. This represents a 21.82% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 3,296,763 shares of company stock worth $414,016,996. 14.47% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Robinhood Markets

Several hedge funds have recently modified their holdings of the company. Hantz Financial Services Inc. boosted its stake in Robinhood Markets by 120.3% during the second quarter. Hantz Financial Services Inc. now owns 271 shares of the company’s stock valued at $25,000 after buying an additional 148 shares in the last quarter. Valley National Advisers Inc. lifted its holdings in Robinhood Markets by 113.6% in the 3rd quarter. Valley National Advisers Inc. now owns 188 shares of the company’s stock valued at $26,000 after acquiring an additional 100 shares during the last quarter. Golden State Wealth Management LLC boosted its position in shares of Robinhood Markets by 107.6% during the 3rd quarter. Golden State Wealth Management LLC now owns 191 shares of the company’s stock valued at $27,000 after purchasing an additional 99 shares in the last quarter. Smithfield Trust Co acquired a new position in shares of Robinhood Markets in the 2nd quarter worth approximately $29,000. Finally, Stonehage Fleming Financial Services Holdings Ltd bought a new stake in shares of Robinhood Markets in the 3rd quarter worth approximately $29,000. 93.27% of the stock is currently owned by institutional investors and hedge funds.

About Robinhood Markets

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Robinhood Markets, Inc (NASDAQ: HOOD) is a U.S.-based financial services company best known for its mobile-first brokerage platform that aims to “democratize finance for all.” Founded in 2013 by Vladimir Tenev and Baiju Bhatt and headquartered in Menlo Park, California, the company built early traction by offering commission-free trading and a simplified user experience that attracted a large base of retail investors.

Robinhood’s core products and services include a mobile app and web platform for trading U.S.