In the latest trading session, Robinhood Markets, Inc. (HOOD) closed at $96.52, marking a -2.38% move from the previous day. This move lagged the S&P 500's daily gain of 0.41%. At the same time, the Dow lost 0.07%, and the tech-heavy Nasdaq gained 1.11%.
Heading into today, shares of the company had lost 17.49% over the past month, lagging the Finance sector's loss of 1.68% and the S&P 500's gain of 1.46%.
The upcoming earnings release of Robinhood Markets, Inc. will be of great interest to investors. The company's earnings report is expected on October 27, 2026. The company is expected to report EPS of $0.55, down 9.84% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $1.42 billion, reflecting a 11.38% rise from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.15 per share and a revenue of $5.29 billion, representing changes of +4.88% and +18.34%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Robinhood Markets, Inc. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.14% higher within the past month. As of now, Robinhood Markets, Inc. holds a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Robinhood Markets, Inc. is currently being traded at a Forward P/E ratio of 45.89. This indicates a premium in contrast to its industry's Forward P/E of 13.07.
It is also worth noting that HOOD currently has a PEG ratio of 1.93. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Financial - Investment Bank industry stood at 0.9 at the close of the market yesterday.
The Financial - Investment Bank industry is part of the Finance sector. This group has a Zacks Industry Rank of 54, putting it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Robinhood Markets, Inc. (HOOD): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).