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Bernstein keeps $160 Robinhood target, sees returns topping market expectations

Bernstein keeps $160 Robinhood target, sees returns topping market expectations

The firm said Robinhood’s crypto business is broadening into tokenization, yield products and exchange infrastructure, with Rothera emerging as the third-largest U.S. prediction market.

Fact Check
Multiple independent sources including The Block's report on the Bernstein note, coingape, crypto.news, and Bloomberg all confirm Bernstein maintained/kept a $160 price target on Robinhood, that the firm sees the crypto business broadening into tokenization (Stock Tokens), yield products (Robinhood Earn), and exchange infrastructure (Robinhood Chain), and that Rothera is described as the third-largest US prediction market. The 'returns topping market expectations' framing aligns with the reported ~78-85% upside. The only minor inconsistency across sources is Rothera's specific Q2 revenue figure, which does not affect the core assertions in the claim.
Summary

Bernstein maintained its Outperform rating and $160 price target on Robinhood Markets, arguing the company’s crypto business is expanding beyond trading into tokenization, yield products and market infrastructure. The firm said Robinhood Chain has processed more than $12 billion in decentralized-exchange volume and over 150 million transactions since launch, while Robinhood Earn has gathered more than $200 million in customer deposits and tokenized U.S. stocks are now available through Robinhood Wallet in more than 120 countries. Bernstein also highlighted Rothera, Robinhood’s exchange launched in June, saying it has handled more than 3.5 billion contracts, including 2.1 billion in the second quarter, generated $17 million in second-quarter revenue and become the third-largest prediction market exchange in the United States. Robinhood shares closed at $89.84 on Wednesday, implying about 78% upside to Bernstein’s target, then fell 3.6% to $86.60 on Thursday, implying roughly 85% upside. Bernstein said ownership of exchange infrastructure could help Robinhood retain more execution and clearing economics, while warning that payment for order flow and evolving U.S. digital-asset regulation remain key risks.

Terms & Concepts
  • tokenized stocks: Blockchain-based representations of shares that give users exposure to equities through digital tokens.
  • decentralized-exchange volume: The total value traded on blockchain-based marketplaces that operate without a central intermediary.
  • payment for order flow: A brokerage practice in which market makers pay firms for routing customer trades to them for execution.