Share this article
Robinhood Initiated as Market Perform at KBW as Retail Trading Returns
Retail engagement materially accelerated in the first quarter, the report said.
Updated Apr 3, 2024, 9:46 a.m. Published Apr 3, 2024, 9:44 a.m.
- KBW initiated coverage of Robinhood with a market perform rating and a $20 price target.
- Robinhood’s share price rose sharply as retail engagement accelerated.
- The big question is how long the recent acceleration in retail trading will last, the report said.
The key question for trading platform Robinhood (HOOD) is how long the recent acceleration in retail trading will last, broker KBW said in a research report that initiated coverage of the stock with a market perform rating and a $20 price target.
KBW notes that retail engagement materially ramped up in the first quarter, helping drive the share price up 150% in only four months.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
If there is continued strength in retail stocks and cryptocurrency prices, the acceleration in retail engagement could continue and may even increase, the report published Tuesday said.
Still, the stock price has already “adequately captured the baseline upside” from new product launches and has started to “price in a higher level of normalized retail trading activity,” analysts led by Kyle Voigt wrote.
Retail activity is expected to moderate from the levels seen in the first quarter and gradually decline into 2025, the note said.
The U.S. self-directed brokerage industry is one of the quickest growing sectors of the broader U.S. wealth market, and “Robinhood is positioned as a small (but quickly growing) player in a secularly growing industry,” the report added.
“With Robinhood only having ~1% share of U.S. self-directed assets, but ~20% share of estimated total U.S. self-direct brokerage accounts, we believe there is room for HOOD to outpace the overall asset growth in the self-directed industry as its core client cohort matures,” the authors wrote.
Robinhood shares closed at $19.20 on Tuesday, and have gained over 50% year-to-date.
Read more: Robinhood to Benefit From ‘Monster’ Crypto Cycle, Initiated Outperform by Bernstein
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Japan’s Higher Rates Puts Bitcoin in the Crosshairs of a Yen Carry Unwind
A stronger yen typically coincides with de-risking across macro portfolios, and that dynamic could tighten liquidity conditions that recently helped bitcoin rebound from November’s lows.
What to know:
- The Bank of Japan is expected to raise interest rates to 0.75% at its December meeting, the highest since 1995, affecting global markets including cryptocurrencies.
- A stronger yen could lead to de-risking in macro portfolios, impacting liquidity conditions that have supported bitcoin's recent recovery.
- Governor Kazuo Ueda indicated a high probability of a rate hike, with officials prepared for further tightening if their economic outlook supports it.
Top Stories
