ROBINHOOD MARKETS INC - A (HOOD) Stock Fundamental Analysis
NASDAQ:HOOD - Nasdaq - US7707001027 - Common Stock - Currency: USD
Overall HOOD gets a fundamental rating of 4 out of 10. We evaluated HOOD against 233 industry peers in the Capital Markets industry. There are concerns on the financial health of HOOD while its profitability can be described as average. HOOD is valued quite expensively, but it does show have an excellent growth rating.
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.
The reported net income has been mixed in the past 5 years: HOOD reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: HOOD reported negative operating cash flow in multiple years.
1.2 Ratios
With a decent Return On Assets value of 5.78%, HOOD is doing good in the industry, outperforming 74.68% of the companies in the same industry.
The Return On Equity of HOOD (19.99%) is better than 87.98% of its industry peers.
HOOD has a Return On Invested Capital of 5.82%. This is in the better half of the industry: HOOD outperforms 68.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.78% | ||
| ROE | 19.99% | ||
| ROIC | 5.82% |
ROA(3y)-0.7%
ROA(5y)-4.14%
ROE(3y)-1.72%
ROE(5y)-11.11%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HOOD's Profit Margin of 48.77% is amongst the best of the industry. HOOD outperforms 91.42% of its industry peers.
HOOD's Operating Margin of 38.83% is fine compared to the rest of the industry. HOOD outperforms 68.24% of its industry peers.
The Gross Margin of HOOD (94.51%) is better than 94.85% of its industry peers.
In the last couple of years the Gross Margin of HOOD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.83% | ||
| PM (TTM) | 48.77% | ||
| GM | 94.51% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.02%
GM growth 5Y2.46%
2. Health
2.1 Basic Checks
HOOD has more shares outstanding than it did 1 year ago.
The number of shares outstanding for HOOD has been increased compared to 5 years ago.
HOOD has a worse debt/assets ratio than last year.
2.2 Solvency
HOOD has an Altman-Z score of 2.93. This is not the best score and indicates that HOOD is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.93, HOOD is in the better half of the industry, outperforming 76.39% of the companies in the same industry.
The Debt to FCF ratio of HOOD is 8.62, which is on the high side as it means it would take HOOD, 8.62 years of fcf income to pay off all of its debts.
HOOD has a Debt to FCF ratio (8.62) which is comparable to the rest of the industry.
HOOD has a Debt/Equity ratio of 1.14. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of HOOD (1.14) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 8.62 | ||
| Altman-Z | 2.93 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
HOOD has a Current Ratio of 1.35. This is a normal value and indicates that HOOD is financially healthy and should not expect problems in meeting its short term obligations.
HOOD has a Current ratio (1.35) which is in line with its industry peers.
A Quick Ratio of 1.35 indicates that HOOD should not have too much problems paying its short term obligations.
HOOD has a Quick ratio (1.35) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
HOOD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1073.33%, which is quite impressive.
The Revenue has grown by 59.65% in the past year. This is a very strong growth!
Measured over the past years, HOOD shows a very strong growth in Revenue. The Revenue has been growing by 60.45% on average per year.
EPS 1Y (TTM)1073.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%105.56%
Revenue 1Y (TTM)59.65%
Revenue growth 3Y17.59%
Revenue growth 5Y60.45%
Sales Q2Q%50%
3.2 Future
HOOD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.36% yearly.
HOOD is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.70% yearly.
EPS Next Y-14.64%
EPS Next 2Y2.08%
EPS Next 3Y6.61%
EPS Next 5Y8.36%
Revenue Next Year29.74%
Revenue Next 2Y22.21%
Revenue Next 3Y18.34%
Revenue Next 5Y12.7%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 53.64, which means the current valuation is very expensive for HOOD.
HOOD's Price/Earnings ratio is a bit more expensive when compared to the industry. HOOD is more expensive than 77.25% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.45, HOOD is valued quite expensively.
A Price/Forward Earnings ratio of 57.71 indicates a quite expensive valuation of HOOD.
73.82% of the companies in the same industry are cheaper than HOOD, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.90. HOOD is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.64 | ||
| Fwd PE | 57.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HOOD indicates a somewhat cheap valuation: HOOD is cheaper than 61.80% of the companies listed in the same industry.
HOOD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 78.89 | ||
| EV/EBITDA | 55.02 |
4.3 Compensation for Growth
HOOD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.08%
EPS Next 3Y6.61%
5. Dividend
5.1 Amount
No dividends for HOOD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
94.4
-3.58 (-3.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners69.49%
Inst Owner Change-4.47%
Ins Owners0.84%
Ins Owner Change-0.25%
Market Cap83.31B
Analysts77.04
Price Target68.54 (-27.39%)
Short Float %3.96%
Short Ratio0.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)66.77%
Min EPS beat(2)8.54%
Max EPS beat(2)125%
EPS beat(4)3
Avg EPS beat(4)39.64%
Min EPS beat(4)-8.06%
Max EPS beat(4)125%
EPS beat(8)7
Avg EPS beat(8)123.69%
EPS beat(12)11
Avg EPS beat(12)89.58%
EPS beat(16)12
Avg EPS beat(16)69.23%
Revenue beat(2)1
Avg Revenue beat(2)1.77%
Min Revenue beat(2)-1.71%
Max Revenue beat(2)5.24%
Revenue beat(4)2
Avg Revenue beat(4)0.6%
Min Revenue beat(4)-5.07%
Max Revenue beat(4)5.24%
Revenue beat(8)5
Avg Revenue beat(8)1.27%
Revenue beat(12)6
Avg Revenue beat(12)0.21%
Revenue beat(16)7
Avg Revenue beat(16)-1.85%
PT rev (1m)12.04%
PT rev (3m)-1.77%
EPS NQ rev (1m)1.52%
EPS NQ rev (3m)-14.31%
EPS NY rev (1m)-0.6%
EPS NY rev (3m)-9.01%
Revenue NQ rev (1m)0.84%
Revenue NQ rev (3m)-3.32%
Revenue NY rev (1m)0.85%
Revenue NY rev (3m)-1.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.64 | ||
| Fwd PE | 57.71 | ||
| P/S | 25.55 | ||
| P/FCF | 78.89 | ||
| P/OCF | 75.18 | ||
| P/B | 10.47 | ||
| P/tB | 11.03 | ||
| EV/EBITDA | 55.02 |
EPS(TTM)1.76
EY1.86%
EPS(NY)1.64
Fwd EY1.73%
FCF(TTM)1.2
FCFY1.27%
OCF(TTM)1.26
OCFY1.33%
SpS3.69
BVpS9.01
TBVpS8.56
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.78% | ||
| ROE | 19.99% | ||
| ROCE | 15.66% | ||
| ROIC | 5.82% | ||
| ROICexc | 12.3% | ||
| ROICexgc | 12.93% | ||
| OM | 38.83% | ||
| PM (TTM) | 48.77% | ||
| GM | 94.51% | ||
| FCFM | 32.39% |
ROA(3y)-0.7%
ROA(5y)-4.14%
ROE(3y)-1.72%
ROE(5y)-11.11%
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 3Y1.02%
GM growth 5Y2.46%
F-Score8
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.14 | ||
| Debt/FCF | 8.62 | ||
| Debt/EBITDA | 6.76 | ||
| Cap/Depr | 65% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 70.33 | ||
| Cash Conversion | 82.32% | ||
| Profit Quality | 66.42% | ||
| Current Ratio | 1.35 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 2.93 |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)62.65%
Cap/Depr(5y)168.28%
Cap/Sales(3y)2.34%
Cap/Sales(5y)3%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1073.33%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%105.56%
EPS Next Y-14.64%
EPS Next 2Y2.08%
EPS Next 3Y6.61%
EPS Next 5Y8.36%
Revenue 1Y (TTM)59.65%
Revenue growth 3Y17.59%
Revenue growth 5Y60.45%
Sales Q2Q%50%
Revenue Next Year29.74%
Revenue Next 2Y22.21%
Revenue Next 3Y18.34%
Revenue Next 5Y12.7%
EBIT growth 1Y830.88%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year115.54%
EBIT Next 3Y46.02%
EBIT Next 5Y26.84%
FCF growth 1Y310.36%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y340.35%
OCF growth 3YN/A
OCF growth 5YN/A