Added to YB: 2021-07-26
Pitch date: 2021-07-26
HOOD [bearish]
Robinhood Markets, Inc.
-208.79%
current return
Author Info
No bio for this author
Company Info
Robinhood Markets, Inc. operates financial services platform in the United States. The company’s platform allows users to invest in stocks, exchange-traded funds (ETFs), and American depository receipts.
Market Cap
$109.8B
Pitch Price
$38.00
Price Target
N/A
Dividend
N/A
EV/EBITDA
N/A
P/E
54.08
EV/Sales
N/A
Sector
Capital Markets
Category
value
Robinhood Not Worth the Coin
HOOD (short): Robinhood is a short at valuations above $30bn: Q1 revenue of $522m implies a $2.1bn annual run rate and 14.2x forward sales, but haircuts for slowing user growth and trading activity reduce estimated revenue to $1.9bn; applying 11.7x yields a ~$22bn valuation. The case rests on fading pandemic-era growth, crypto exposure — 17% of Q1 revenue — and regulatory risk around payment for order flow and options.
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