ROBINHOOD MARKETS INC - A (HOOD)
US7707001027 - Common Stock
We assign a fundamental rating of 4 out of 10 to HOOD. HOOD was compared to 220 industry peers in the Capital Markets industry. The financial health of HOOD is average, but there are quite some concerns on its profitability. HOOD shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year HOOD was profitable.
In the past year HOOD had a positive cash flow from operations.
HOOD had negative earnings in 4 of the past 5 years.
In multiple years HOOD reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a Return On Assets value of 1.21%, HOOD is not doing good in the industry: 65.90% of the companies in the same industry are doing better.
With a Return On Equity value of 7.28%, HOOD perfoms like the industry average, outperforming 41.47% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 2.86%, HOOD is doing worse than 65.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.21% | ||
| ROE | 7.28% | ||
| ROIC | 2.86% |
ROA(3y)-8.24%
ROA(5y)-5.48%
ROE(3y)-24.47%
ROE(5y)-17.27%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of HOOD (21.80%) is comparable to the rest of the industry.
With a Operating Margin value of 21.97%, HOOD perfoms like the industry average, outperforming 43.32% of the companies in the same industry.
Looking at the Gross Margin, with a value of 93.94%, HOOD belongs to the top of the industry, outperforming 92.63% of the companies in the same industry.
In the last couple of years the Gross Margin of HOOD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.97% | ||
| PM (TTM) | 21.8% | ||
| GM | 93.94% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.39%
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, HOOD has less shares outstanding
HOOD has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.70, we must say that HOOD is in the distress zone and has some risk of bankruptcy.
HOOD's Altman-Z score of 0.70 is in line compared to the rest of the industry. HOOD outperforms 43.32% of its industry peers.
The Debt to FCF ratio of HOOD is 3.38, which is a good value as it means it would take HOOD, 3.38 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 3.38, HOOD is doing good in the industry, outperforming 70.05% of the companies in the same industry.
A Debt/Equity ratio of 1.01 is on the high side and indicates that HOOD has dependencies on debt financing.
HOOD has a Debt to Equity ratio (1.01) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 3.38 | ||
| Altman-Z | 0.7 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.18 indicates that HOOD should not have too much problems paying its short term obligations.
With a Current ratio value of 1.18, HOOD perfoms like the industry average, outperforming 54.38% of the companies in the same industry.
HOOD has a Quick Ratio of 1.18. This is a normal value and indicates that HOOD is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.18, HOOD perfoms like the industry average, outperforming 54.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
HOOD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 179.73%, which is quite impressive.
Looking at the last year, HOOD shows a very strong growth in Revenue. The Revenue has grown by 35.74%.
Measured over the past years, HOOD shows a very strong growth in Revenue. The Revenue has been growing by 24.83% on average per year.
EPS 1Y (TTM)179.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%288.89%
Revenue 1Y (TTM)35.74%
Revenue growth 3Y24.83%
Revenue growth 5YN/A
Sales Q2Q%36.4%
3.2 Future
The Earnings Per Share is expected to grow by 54.80% on average over the next years. This is a very strong growth
HOOD is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.44% yearly.
EPS Next Y232.83%
EPS Next 2Y89.57%
EPS Next 3Y54.8%
EPS Next 5YN/A
Revenue Next Year46.08%
Revenue Next 2Y29.79%
Revenue Next 3Y22.44%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 66.83, the valuation of HOOD can be described as expensive.
Based on the Price/Earnings ratio, HOOD is valued more expensive than 81.11% of the companies in the same industry.
When comparing the Price/Earnings ratio of HOOD to the average of the S&P500 Index (27.54), we can say HOOD is valued expensively.
HOOD is valuated quite expensively with a Price/Forward Earnings ratio of 41.23.
77.42% of the companies in the same industry are cheaper than HOOD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of HOOD to the average of the S&P500 Index (23.99), we can say HOOD is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.83 | ||
| Fwd PE | 41.23 |
4.2 Price Multiples
HOOD's Enterprise Value to EBITDA ratio is in line with the industry average.
HOOD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.12 | ||
| EV/EBITDA | 39.56 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
HOOD's earnings are expected to grow with 54.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.29
PEG (5Y)N/A
EPS Next 2Y89.57%
EPS Next 3Y54.8%
5. Dividend
5.1 Amount
No dividends for HOOD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ROBINHOOD MARKETS INC - A
NASDAQ:HOOD (12/26/2024, 10:55:10 AM)
39.4279
-0.15 (-0.38%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners79.09%
Inst Owner Change-9.97%
Ins Owners0.59%
Ins Owner Change-0.28%
Market Cap34.85B
Analysts76.52
Price Target35.04 (-11.13%)
Short Float %2.16%
Short Ratio0.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.5%
Min EPS beat(2)-8.06%
Max EPS beat(2)33.06%
EPS beat(4)3
Avg EPS beat(4)134.75%
Min EPS beat(4)-8.06%
Max EPS beat(4)301.45%
EPS beat(8)7
Avg EPS beat(8)111.13%
EPS beat(12)9
Avg EPS beat(12)75.92%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.57%
Min Revenue beat(2)-5.07%
Max Revenue beat(2)3.93%
Revenue beat(4)3
Avg Revenue beat(4)2.6%
Min Revenue beat(4)-5.07%
Max Revenue beat(4)10.44%
Revenue beat(8)5
Avg Revenue beat(8)0.29%
Revenue beat(12)5
Avg Revenue beat(12)-1.7%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)33.57%
PT rev (3m)43.34%
EPS NQ rev (1m)-0.5%
EPS NQ rev (3m)51.63%
EPS NY rev (1m)10.38%
EPS NY rev (3m)9.35%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)8.28%
Revenue NY rev (1m)4.63%
Revenue NY rev (3m)3.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 66.83 | ||
| Fwd PE | 41.23 | ||
| P/S | 14.47 | ||
| P/FCF | 16.12 | ||
| P/OCF | 15.82 | ||
| P/B | 4.84 | ||
| P/tB | 4.99 | ||
| EV/EBITDA | 39.56 |
EPS(TTM)0.59
EY1.5%
EPS(NY)0.96
Fwd EY2.43%
FCF(TTM)2.45
FCFY6.2%
OCF(TTM)2.49
OCFY6.32%
SpS2.72
BVpS8.15
TBVpS7.91
PEG (NY)0.29
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.21% | ||
| ROE | 7.28% | ||
| ROCE | 7.26% | ||
| ROIC | 2.86% | ||
| ROICexc | 10.69% | ||
| ROICexgc | 11.33% | ||
| OM | 21.97% | ||
| PM (TTM) | 21.8% | ||
| GM | 93.94% | ||
| FCFM | 89.78% |
ROA(3y)-8.24%
ROA(5y)-5.48%
ROE(3y)-24.47%
ROE(5y)-17.27%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.39%
GM growth 5YN/A
F-Score7
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 3.38 | ||
| Debt/EBITDA | 12.16 | ||
| Cap/Depr | 56.94% | ||
| Cap/Sales | 1.7% | ||
| Interest Coverage | 33.06 | ||
| Cash Conversion | 366.56% | ||
| Profit Quality | 411.81% | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 0.7 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)150.42%
Cap/Depr(5y)201.8%
Cap/Sales(3y)3.31%
Cap/Sales(5y)3.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)179.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%288.89%
EPS Next Y232.83%
EPS Next 2Y89.57%
EPS Next 3Y54.8%
EPS Next 5YN/A
Revenue 1Y (TTM)35.74%
Revenue growth 3Y24.83%
Revenue growth 5YN/A
Sales Q2Q%36.4%
Revenue Next Year46.08%
Revenue Next 2Y29.79%
Revenue Next 3Y22.44%
Revenue Next 5YN/A
EBIT growth 1Y174.09%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year288.84%
EBIT Next 3Y62.54%
EBIT Next 5YN/A
FCF growth 1Y256.59%
FCF growth 3Y-14.32%
FCF growth 5YN/A
OCF growth 1Y268.33%
OCF growth 3Y-14.3%
OCF growth 5YN/A