Key Takeaways Mizuho boosted HOOD’s price target from $130 to $140, keeping an Outperform rating, with anticipated AI IPOs expected to drive significant trading activity. The platform saw equ
Shares of Robinhood (HOOD) climbed over 2% during Wednesday’s pre-market session, rebounding from Tuesday’s 3.91% decline. The stock is currently hovering around $117.34, representing a roughly 3.75% gain since the start of the year.
The upward movement followed a price target revision from Mizuho’s Dan Dolev, who elevated his HOOD target to $140 from $130—approximately a 7.7% adjustment—while maintaining his Outperform stance. This revised target suggests roughly 16% appreciation potential from present price levels.
Dolev identified the anticipated wave of AI-related initial public offerings as a key catalyst for accelerating trading activity on Robinhood’s platform. He anticipates similar dynamics to those observed during the SpaceX debut, which propelled equity trading volumes 24% higher month-over-month and drove a 38% increase in options activity.
The SpaceX public offering also contributed to Robinhood acquiring approximately 1 million funded accounts during Q2, marking its strongest quarterly customer acquisition in nearly half a decade, according to CFO Shiv Verma.
Dolev anticipates these patterns could materialize again as artificial intelligence firms begin entering public markets starting October through 2027. He suggested the forthcoming IPOs might “meaningfully boost HOOD’s trading volumes” should market conditions replicate the post-SpaceX atmosphere.
From a valuation perspective, Mizuho assigns HOOD approximately 19 times projected 2027 revenue, versus roughly 15 times at current levels. Dolev views this premium as warranted given Robinhood’s expansion trajectory and diversification into emerging products and international markets, which he characterizes as a “$600bn TAM with new products and geographies.”
Goldman Sachs’ James Yaro elevated his price objective to $142 from $124, maintaining his Buy recommendation. This target implies approximately 21% upside potential. Yaro emphasized the impressive initial results from Rothera, Robinhood’s prediction-market collaboration with Susquehanna International Group.
Rothera produced roughly $150 million in annualized revenue during its inaugural operational quarter. Yaro projects continued expansion for this venture, supported by Robinhood’s extensive retail user base and what he describes as “deep liquidity potential” combined with more competitive fee structures than rival prediction-market platforms.
Jefferies’ Daniel Fannon similarly raised his price target to $140 from $127, maintaining his Buy rating following discussions with CFO Shiv Verma. Fannon emphasized strong underlying business trends, healthy net deposit activity, and sustained Gold subscriber expansion.
Fannon also drew attention to Robinhood Chain, where daily transaction fees reached $8.2 million on September 4 alongside daily trading volumes hitting $3.8 billion. Bernstein SocGen Group independently maintained its Outperform rating, observing that the blockchain has emerged as a top-5 network measured by both transaction fees and trading volumes.
HOOD has outperformed the S&P 500 by 33% since early August, a rally Mizuho primarily attributes to enthusiasm surrounding prediction-market opportunities.
The TipRanks analyst consensus indicates a Strong Buy rating, reflecting 16 Buy recommendations and 2 Hold ratings issued over the last three months, with a mean price target of $131.73.
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