Robinhood Jumps 15% as Morgan Stanley, Scotiabank Turn Bullish on Platform Expansion
HOOD sits 94% above its 52-week low of $63.515.
Summary
Robinhood shares surged 15.2% Thursday after Morgan Stanley upgraded the stock to Overweight with a $150 price target (up from $124), Scotiabank initiated coverage at Sector Outperform with a $136 target, and Piper Sandler raised its target to $145. The upgrades center on Robinhood's expanding platform—trust accounts, banking, lending, wealth management, and prediction markets—which analysts argue supports stronger customer economics and a longer growth runway. The company disclosed $150 million in new trust account deposits with average balances above $500,000, signaling traction with higher-net-worth clients. Prediction market revenue is expected to accelerate with football season, with Piper Sandler modeling $320 million in event contract revenue from September through December. This follows record Q2 results and a $2.2 billion convertible note offering in June, reinforcing the narrative of a maturing, diversified brokerage. The stock remains below its all-time high of $152.46, leaving room for further upside if execution continues.
At the time of this announcement, HOOD was trading at $123.11 on NASDAQ in the Finance sector, with a market capitalization of approximately $110.7B. The 52-week trading range was $63.52 to $153.86. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.