Goldman Cuts Robinhood Target to $111 After 9% Account Growth and Trading Surge
Goldman Sachs trimmed Robinhood’s price target to $111 from $130 but maintained its Buy rating after strong January metrics. Funded accounts rose 9% year-over-year to 27.2 million, equity volume climbed 57%, crypto volume up 12%, prediction-market contracts hit $3.4 billion and daily commissions reached $10 million.
1. Goldman Sachs Price Target Adjustment
Goldman Sachs lowered its price target for Robinhood to $111 from $130 while maintaining a Buy rating, reflecting updated expectations based on January activity and valuation considerations.
2. Strong January Performance Metrics
Robinhood reported funded accounts grew 9% to 27.2 million year-over-year, equity trading volume jumped 57%, cryptocurrency volume rose 12%, prediction-market contracts climbed 17% month-over-month to $3.4 billion, daily commissions hit $10 million and app downloads increased 30%.
3. Tax Filing Service Launch
On February 18, Robinhood launched a free federal and state tax filing service for eligible customers through April, enabling potential refunds up to four days faster when deposited into brokerage accounts, as part of its push to become a full-featured financial super-app.