HOOD Stock Extends Rally: Needham Hikes Target, Sees Strength Across 'Nearly Every Metric'

Needham hiked the target on Robinhood Markets to $123 from $97 and maintained a ‘Buy’ rating on the shares, which implies an upside of more than 15% from the stock’s last close.

• Needham said that Robinhood’s monthly data shows acceleration in the company's equities, options, and event contracts, as well as a rebound in crypto activity. 
• Robinhood will report Q2 results on July 29 – analysts expect the brokerage firm to post a 28% revenue growth and a 2.4% increase in earnings per share.
• The 12-month average price target on HOOD stock is $120.44 as per Koyfin data, implying an upside of more than 13% from its last close. 

Shares of Robinhood Markets Inc. (HOOD) extended gains overnight at the time of writing after gaining more than 7% at close on Tuesday. Needham raised its price target on the company, citing "continued strength in nearly every metric" for the brokerage ahead of its second-quarter earnings report next week. 

The analyst hiked the target on HOOD stock to $123 from $97 and maintained a ‘Buy’ rating on the shares, as per TheFly. The updated target implies an upside of more than 15% from the stock’s last close. 

HOOD Shows Strength Across Segments

Needham said that Robinhood’s monthly data shows acceleration in the company's equities, options and event contracts, as well as a rebound in crypto activity. 

Robinhood reported selected month-to-date trading volumes through June 25. As per the release, trading activity strengthened across all major asset classes in the month, with equity notional trading volume rising about 8.9% to $343 billion in June from $315 billion in the whole of May. 

Options contracts traded climbed about 18.6% to 274 million from 231 million in the previous month, while crypto notional trading volume increased about 14.8% to $14 billion from $12.2 billion. Event contracts posted the strongest growth, surging approximately 33.3% month over month to 5.2 billion from 3.9 billion in May. The company said that June’s full-month data would be released alongside its second-quarter (Q2) results expected on July 29. 

Analysts expect the brokerage firm to post a 28% growth in revenue of $1.27 billion in Q2, up from $989 million in the previous year, as per data from Fiscal.ai. Earnings per share is expected to increase about 2.4% to $0.43 per share. 

As a result, Needham said that it increased its estimates for Robinhood's Q2 and upped the price target. It said that it views Robinhood as the farthest along financial services platform in becoming a "financial super app."

HOOD Stock: Wall Street Remains Bullish

The 12-month average price target on HOOD stock is $120.44 as per Koyfin data, implying an upside of more than 13% from its last close. 

Of the 28 analysts covering the stock, 22 have a ‘Buy’ or higher rating on its shares, while four analysts have a ‘Hold’ rating. The rest rate the stock a ‘Sell.’

Earlier this week, Bernstein raised the price target on HOOD’s stock to $160 from $130, and kept an ‘Outperform’ rating, saying that it expects estimated revenue from prediction markets to rise to $1.7 billion by 2028, buoyed by the company’s Rothera exchange joint venture. 

According to the analyst, Robinhood maintains a "frenemy" relationship with Kalshi by continuing to distribute the prediction platform's contracts while expanding event trading through its own Rothera exchange, which contributes about 16% of total event contract volume.

HOOD Stock: Retail Stance

On Stocktwits, retail sentiment around HOOD stock was in the ‘bearish’ territory at the time of writing amid ‘normal’ message volumes. 

One user said, “$HOOD THEY WILL RUN ADS LIKE CRAZY AND MAKE MONEY OFF OF IT. THIS IS A BIG REVENUE STREAM NO ONE EVER TALKS ABOUT. IT WILL BE LIKE AN X COMBINED WITH A STOCKTWITS. EVERYONE IN THE MARKET WILL BE THERE. AND THE TRUMP ACCOUNTS WILL KEEP FEEDING THE AD BUSINESS AS THE OTHER ONES.”

https://stocktwits.com/RogSmth007/message/659657831

Another user said, “Word is huge beat & exceptional guidance.  We shall see.”

https://stocktwits.com/Nomorelies/message/659643200

HOOD stock has declined more than 7% in 2026. 

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