ROBINHOOD MARKETS INC - A (HOOD) Fundamental Analysis & Valuation

NASDAQ:HOOD • US7707001027

Current stock price

66.02 USD
-4.33 (-6.15%)
At close:
65.51 USD
-0.51 (-0.77%)
After Hours:

This HOOD fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

7

1. HOOD Profitability Analysis

1.1 Basic Checks

  • HOOD had positive earnings in the past year.
  • HOOD had a positive operating cash flow in the past year.
  • In multiple years HOOD reported negative net income over the last 5 years.
  • The reported operating cash flow has been mixed in the past 5 years: HOOD reported negative operating cash flow in multiple years.
HOOD Yearly Net Income VS EBIT VS OCF VS FCFHOOD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B -2B -3B

1.2 Ratios

  • HOOD's Return On Assets of 4.94% is fine compared to the rest of the industry. HOOD outperforms 68.20% of its industry peers.
  • HOOD has a better Return On Equity (20.60%) than 84.10% of its industry peers.
  • The Return On Invested Capital of HOOD (9.14%) is better than 82.43% of its industry peers.
Industry RankSector Rank
ROA 4.94%
ROE 20.6%
ROIC 9.14%
ROA(3y)2.42%
ROA(5y)-3.16%
ROE(3y)10.07%
ROE(5y)-7.02%
ROIC(3y)N/A
ROIC(5y)N/A
HOOD Yearly ROA, ROE, ROICHOOD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 2025 0 20 -20 -40

1.3 Margins

  • HOOD has a better Profit Margin (42.10%) than 86.61% of its industry peers.
  • HOOD's Profit Margin has improved in the last couple of years.
  • HOOD has a better Operating Margin (48.00%) than 85.77% of its industry peers.
  • In the last couple of years the Operating Margin of HOOD has grown nicely.
  • HOOD has a better Gross Margin (95.28%) than 95.82% of its industry peers.
  • In the last couple of years the Gross Margin of HOOD has grown nicely.
Industry RankSector Rank
OM 48%
PM (TTM) 42.1%
GM 95.28%
OM growth 3YN/A
OM growth 5Y100.71%
PM growth 3YN/A
PM growth 5Y169.33%
GM growth 3Y1.54%
GM growth 5Y1.51%
HOOD Yearly Profit, Operating, Gross MarginsHOOD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 2025 0 50 -50 -100 -150 -200

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3

2. HOOD Health Analysis

2.1 Basic Checks

  • Compared to 1 year ago, HOOD has more shares outstanding
  • HOOD has more shares outstanding than it did 5 years ago.
  • The debt/assets ratio for HOOD is higher compared to a year ago.
HOOD Yearly Shares OutstandingHOOD Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M
HOOD Yearly Total Debt VS Total AssetsHOOD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

2.2 Solvency

  • Based on the Altman-Z score of 1.77, we must say that HOOD is in the distress zone and has some risk of bankruptcy.
  • HOOD's Altman-Z score of 1.77 is fine compared to the rest of the industry. HOOD outperforms 66.95% of its industry peers.
  • The Debt to FCF ratio of HOOD is 7.34, which is on the high side as it means it would take HOOD, 7.34 years of fcf income to pay off all of its debts.
  • HOOD has a Debt to FCF ratio of 7.34. This is in the better half of the industry: HOOD outperforms 62.34% of its industry peers.
  • A Debt/Equity ratio of 1.27 is on the high side and indicates that HOOD has dependencies on debt financing.
  • HOOD has a worse Debt to Equity ratio (1.27) than 63.18% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.27
Debt/FCF 7.34
Altman-Z 1.77
ROIC/WACCN/A
WACCN/A
HOOD Yearly LT Debt VS Equity VS FCFHOOD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B 8B

2.3 Liquidity

  • HOOD has a Current Ratio of 1.26. This is a normal value and indicates that HOOD is financially healthy and should not expect problems in meeting its short term obligations.
  • HOOD has a Current ratio (1.26) which is comparable to the rest of the industry.
  • HOOD has a Quick Ratio of 1.26. This is a normal value and indicates that HOOD is financially healthy and should not expect problems in meeting its short term obligations.
  • The Quick ratio of HOOD (1.26) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 1.26
Quick Ratio 1.26
HOOD Yearly Current Assets VS Current LiabilitesHOOD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. HOOD Growth Analysis

3.1 Past

  • HOOD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.21%, which is quite impressive.
  • Looking at the last year, HOOD shows a very strong growth in Revenue. The Revenue has grown by 51.58%.
  • HOOD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 36.07% yearly.
EPS 1Y (TTM)31.21%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-34.65%
Revenue 1Y (TTM)51.58%
Revenue growth 3Y48.79%
Revenue growth 5Y36.07%
Sales Q2Q%26.53%

3.2 Future

  • Based on estimates for the next years, HOOD will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.26% on average per year.
  • The Revenue is expected to grow by 15.54% on average over the next years. This is quite good.
EPS Next Y18.38%
EPS Next 2Y19.97%
EPS Next 3Y19.54%
EPS Next 5Y12.26%
Revenue Next Year22.51%
Revenue Next 2Y20.32%
Revenue Next 3Y18.71%
Revenue Next 5Y15.54%

3.3 Evolution

  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
HOOD Yearly Revenue VS EstimatesHOOD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 5B 10B
HOOD Yearly EPS VS EstimatesHOOD Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 2 -2 4 -4 -6

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2

4. HOOD Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 32.05, the valuation of HOOD can be described as expensive.
  • Based on the Price/Earnings ratio, HOOD is valued a bit more expensive than 77.41% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 24.88, HOOD is valued a bit more expensive.
  • With a Price/Forward Earnings ratio of 27.07, HOOD can be considered very expensive at the moment.
  • 70.71% of the companies in the same industry are cheaper than HOOD, based on the Price/Forward Earnings ratio.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.19, HOOD is valued a bit more expensive.
Industry RankSector Rank
PE 32.05
Fwd PE 27.07
HOOD Price Earnings VS Forward Price EarningsHOOD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • 65.69% of the companies in the same industry are more expensive than HOOD, based on the Enterprise Value to EBITDA ratio.
  • HOOD's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 37.52
EV/EBITDA 23.88
HOOD Per share dataHOOD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • HOOD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The decent profitability rating of HOOD may justify a higher PE ratio.
  • A more expensive valuation may be justified as HOOD's earnings are expected to grow with 19.54% in the coming years.
PEG (NY)1.74
PEG (5Y)N/A
EPS Next 2Y19.97%
EPS Next 3Y19.54%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. HOOD Dividend Analysis

5.1 Amount

  • HOOD does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

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HOOD Fundamentals: All Metrics, Ratios and Statistics

ROBINHOOD MARKETS INC - A

NASDAQ:HOOD (3/27/2026, 8:00:01 PM)

After market: 65.51 -0.51 (-0.77%)

66.02

-4.33 (-6.15%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)02-10
Earnings (Next)04-28
Inst Owners74.3%
Inst Owner Change-2.34%
Ins Owners0.66%
Ins Owner Change-0.17%
Market Cap59.44B
Revenue(TTM)4.47B
Net Income(TTM)1.88B
Analysts81.25
Price Target130.24 (97.27%)
Short Float %3.86%
Short Ratio1.01
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.58%
Min EPS beat(2)3.15%
Max EPS beat(2)12%
EPS beat(4)4
Avg EPS beat(4)13.88%
Min EPS beat(4)3.15%
Max EPS beat(4)31.8%
EPS beat(8)7
Avg EPS beat(8)52.26%
EPS beat(12)11
Avg EPS beat(12)87.08%
EPS beat(16)14
Avg EPS beat(16)68.68%
Revenue beat(2)1
Avg Revenue beat(2)-0.79%
Min Revenue beat(2)-6.35%
Max Revenue beat(2)4.77%
Revenue beat(4)2
Avg Revenue beat(4)0.87%
Min Revenue beat(4)-6.35%
Max Revenue beat(4)6.78%
Revenue beat(8)5
Avg Revenue beat(8)2.25%
Revenue beat(12)8
Avg Revenue beat(12)1.43%
Revenue beat(16)8
Avg Revenue beat(16)-0.62%
PT rev (1m)-15.09%
PT rev (3m)-15.37%
EPS NQ rev (1m)-4.99%
EPS NQ rev (3m)-13.86%
EPS NY rev (1m)-7.12%
EPS NY rev (3m)-5.16%
Revenue NQ rev (1m)-1.3%
Revenue NQ rev (3m)-4.66%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)0.89%
Valuation
Industry RankSector Rank
PE 32.05
Fwd PE 27.07
P/S 13.29
P/FCF 37.52
P/OCF 36.29
P/B 6.5
P/tB 6.92
EV/EBITDA 23.88
EPS(TTM)2.06
EY3.12%
EPS(NY)2.44
Fwd EY3.69%
FCF(TTM)1.76
FCFY2.66%
OCF(TTM)1.82
OCFY2.76%
SpS4.97
BVpS10.15
TBVpS9.54
PEG (NY)1.74
PEG (5Y)N/A
Graham Number21.69
Profitability
Industry RankSector Rank
ROA 4.94%
ROE 20.6%
ROCE 22.92%
ROIC 9.14%
ROICexc 17.46%
ROICexgc 18.39%
OM 48%
PM (TTM) 42.1%
GM 95.28%
FCFM 35.41%
ROA(3y)2.42%
ROA(5y)-3.16%
ROE(3y)10.07%
ROE(5y)-7.02%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y100.71%
PM growth 3YN/A
PM growth 5Y169.33%
GM growth 3Y1.54%
GM growth 5Y1.51%
F-Score6
Asset Turnover0.12
Health
Industry RankSector Rank
Debt/Equity 1.27
Debt/FCF 7.34
Debt/EBITDA 5.21
Cap/Depr 62.79%
Cap/Sales 1.21%
Interest Coverage 69.26
Cash Conversion 73.35%
Profit Quality 84.12%
Current Ratio 1.26
Quick Ratio 1.26
Altman-Z 1.77
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)52.43%
Cap/Depr(5y)115.77%
Cap/Sales(3y)1.34%
Cap/Sales(5y)2.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.21%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-34.65%
EPS Next Y18.38%
EPS Next 2Y19.97%
EPS Next 3Y19.54%
EPS Next 5Y12.26%
Revenue 1Y (TTM)51.58%
Revenue growth 3Y48.79%
Revenue growth 5Y36.07%
Sales Q2Q%26.53%
Revenue Next Year22.51%
Revenue Next 2Y20.32%
Revenue Next 3Y18.71%
Revenue Next 5Y15.54%
EBIT growth 1Y103.7%
EBIT growth 3YN/A
EBIT growth 5Y173.12%
EBIT Next Year49.01%
EBIT Next 3Y28.51%
EBIT Next 5Y17.12%
FCF growth 1Y865.22%
FCF growth 3YN/A
FCF growth 5Y-2.99%
OCF growth 1Y1143.31%
OCF growth 3YN/A
OCF growth 5Y-2.68%

ROBINHOOD MARKETS INC - A / HOOD Fundamental Analysis FAQ

What is the fundamental rating for HOOD stock?

ChartMill assigns a fundamental rating of 5 / 10 to HOOD.


Can you provide the valuation status for ROBINHOOD MARKETS INC - A?

ChartMill assigns a valuation rating of 2 / 10 to ROBINHOOD MARKETS INC - A (HOOD). This can be considered as Overvalued.


What is the profitability of HOOD stock?

ROBINHOOD MARKETS INC - A (HOOD) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for HOOD stock?

The Price/Earnings (PE) ratio for ROBINHOOD MARKETS INC - A (HOOD) is 32.05 and the Price/Book (PB) ratio is 6.5.