Robinhood’s Assets Under Custody Boom To $5.6B In November, CFO Sells $6M Worth Of Shares This Week: Retail On Wait-And-Watch Mode

Financial services firm Robinhood Markets Inc (HOOD) announced its November 2024 operating data and said its total assets under custody (AUC) more than doubled to $195 billion in November compared to the same period a year ago while net deposits stood at $5.6 billion.

The company’s funded customers increased by 6% year-over-year (YoY) or by 1.5 million to 24.8 million at the end of the month.

It also witnessed a significant jump in trading volumes with the total notional equity trading volume almost tripling to $147.1 billion and options contracts trading rising 63% YoY to 155.5 million.

The highlight, however, was the surge in crypto trading with notional trading volumes jumping 780% to $35.2 billion in November.

Total cash sweep balances at the end of the month stood at $26.5 billion, up 74% YoY while total securities lending revenue came in at $23 million, up 109% YoY.

Despite the positive numbers, a potential dampener in investor sentiment appeared to be the share sale by its chief financial officer on Dec. 9.

According to an SEC filing, CFO Jason Warnick sold over 150,000 shares of Robinhood at $40.12, amounting to over $6 million.

On Stocktwits, retail sentiment remained steady in the ‘neutral’ territory (47/100).

HOOD’s Sentiment Meter and Message Volume as of 8:01 a.m. ET on Dec. 12, 2024 | Source: Stocktwits

Retail chatter on Stocktwits indicated a mixed opinion on the stock.

Recently, Barclays joined the club of brokerages that upgraded their price targets on the stock.

The brokerage reportedly upgraded Robinhood to ‘Overweight’ from ‘Equal Weight’ while raising its price target to $49 from $26 as it sees a "uniquely differentiated growth opportunity set and an increasingly demonstrated ability to execute.”

Shares of Robinhood have gained a whopping 205% since the beginning of the year, significantly outperforming the benchmark U.S. indices.

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