JPMorgan Raises Price Target for Robinhood to $98 by 2026

Following strong earnings, analysts predict continued growth for Robinhood, with a focus on crypto revenue and new product launches driving expectations.

Summary

Robinhood’s second-quarter earnings have led analysts to raise their price targets, with JPMorgan increasing its target to $104 from $98, maintaining a neutral rating. The company reported $160 million in crypto revenue, driven by its Bitstamp acquisition, and has seen significant year-over-year growth. Citi and Keefe, Bruyette & Woods also raised their targets, while Cantor Fitzgerald issued a buy rating with a target of $118. Investors are closely watching Coinbase's upcoming earnings, which may reflect similar trends in retail crypto trading.

Terms & Concepts
  • earnings per share (EPS): A financial metric indicating the portion of a company's profit allocated to each outstanding share of common stock.
  • crypto revenue: Income generated from cryptocurrency trading and related activities, often a significant component of earnings for firms involved in digital assets.
  • Bitstamp: A cryptocurrency exchange based in Europe, acquired by Robinhood to enhance its trading capabilities and revenue from crypto activities.