ROBINHOOD MARKETS INC - A (HOOD) Stock Fundamental Analysis
USA - NASDAQ:HOOD - US7707001027 - Common Stock
127.22 USD
-4.62 (-3.5%)
126.5 USD
-0.72 (-0.57%)
Taking everything into account, HOOD scores 5 out of 10 in our fundamental rating. HOOD was compared to 236 industry peers in the Capital Markets industry. HOOD has an average financial health and profitability rating. HOOD shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
HOOD had positive earnings in the past year.
HOOD had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: HOOD reported negative net income in multiple years.
In multiple years HOOD reported negative operating cash flow during the last 5 years.
1.2 Ratios
HOOD has a Return On Assets of 5.06%. This is in the better half of the industry: HOOD outperforms 70.34% of its industry peers.
HOOD has a better Return On Equity (22.15%) than 88.98% of its industry peers.
The Return On Invested Capital of HOOD (5.80%) is better than 69.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 22.15% | ||
| ROIC | 5.8% |
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 has a Profit Margin of 50.13%. This is amongst the best in the industry. HOOD outperforms 87.71% of its industry peers.
The Operating Margin of HOOD (42.89%) is better than 76.69% of its industry peers.
HOOD has a Gross Margin of 94.76%. This is amongst the best in the industry. HOOD outperforms 94.92% of its industry peers.
In the last couple of years the Gross Margin of HOOD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 42.89% | ||
| PM (TTM) | 50.13% | ||
| GM | 94.76% |
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
Compared to 1 year ago, HOOD has more shares outstanding
HOOD has more shares outstanding than it did 5 years ago.
HOOD has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.92 indicates that HOOD is not a great score, but indicates only limited risk for bankruptcy at the moment.
HOOD's Altman-Z score of 2.92 is fine compared to the rest of the industry. HOOD outperforms 76.27% of its industry peers.
The Debt to FCF ratio of HOOD is 2.81, which is a good value as it means it would take HOOD, 2.81 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 2.81, HOOD belongs to the best of the industry, outperforming 84.75% of the companies in the same industry.
HOOD has a Debt/Equity ratio of 1.57. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.57, HOOD is not doing good in the industry: 73.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 2.81 | ||
| Altman-Z | 2.92 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.25 indicates that HOOD should not have too much problems paying its short term obligations.
HOOD's Current ratio of 1.25 is in line compared to the rest of the industry. HOOD outperforms 55.93% of its industry peers.
A Quick Ratio of 1.25 indicates that HOOD should not have too much problems paying its short term obligations.
The Quick ratio of HOOD (1.25) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 496.97% over the past year.
The Revenue has grown by 59.38% in the past year. This is a very strong growth!
HOOD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 60.45% yearly.
EPS 1Y (TTM)496.97%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)59.38%
Revenue growth 3Y17.59%
Revenue growth 5Y60.45%
Sales Q2Q%45.01%
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 8.83% yearly.
Based on estimates for the next years, HOOD will show a quite strong growth in Revenue. The Revenue will grow by 15.10% on average per year.
EPS Next Y8.23%
EPS Next 2Y16.67%
EPS Next 3Y14.15%
EPS Next 5Y8.83%
Revenue Next Year48.01%
Revenue Next 2Y33.31%
Revenue Next 3Y25.07%
Revenue Next 5Y15.1%
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
HOOD is valuated quite expensively with a Price/Earnings ratio of 64.58.
Based on the Price/Earnings ratio, HOOD is valued a bit more expensive than the industry average as 78.81% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 27.57, HOOD is valued quite expensively.
Based on the Price/Forward Earnings ratio of 59.53, the valuation of HOOD can be described as expensive.
Based on the Price/Forward Earnings ratio, HOOD is valued a bit more expensive than the industry average as 73.73% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 23.09. HOOD is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.58 | ||
| Fwd PE | 59.53 |
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 61.44% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as HOOD.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.12 | ||
| EV/EBITDA | 64.35 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of HOOD may justify a higher PE ratio.
HOOD's earnings are expected to grow with 14.15% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.84
PEG (5Y)N/A
EPS Next 2Y16.67%
EPS Next 3Y14.15%
5. Dividend
5.1 Amount
HOOD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
127.22
-4.62 (-3.5%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners72.55%
Inst Owner Change-1.96%
Ins Owners0.73%
Ins Owner Change-0.49%
Market Cap113.06B
Revenue(TTM)3.57B
Net Income(TTM)1.79B
Analysts78
Price Target125.93 (-1.01%)
Short Float %4.89%
Short Ratio0.88
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)20.17%
Min EPS beat(2)8.54%
Max EPS beat(2)31.8%
EPS beat(4)3
Avg EPS beat(4)39.32%
Min EPS beat(4)-8.06%
Max EPS beat(4)125%
EPS beat(8)7
Avg EPS beat(8)89.46%
EPS beat(12)11
Avg EPS beat(12)90.99%
EPS beat(16)12
Avg EPS beat(16)60.37%
Revenue beat(2)1
Avg Revenue beat(2)2.54%
Min Revenue beat(2)-1.71%
Max Revenue beat(2)6.78%
Revenue beat(4)2
Avg Revenue beat(4)1.31%
Min Revenue beat(4)-5.07%
Max Revenue beat(4)6.78%
Revenue beat(8)5
Avg Revenue beat(8)2.05%
Revenue beat(12)7
Avg Revenue beat(12)1.02%
Revenue beat(16)7
Avg Revenue beat(16)-1.7%
PT rev (1m)1.83%
PT rev (3m)26.3%
EPS NQ rev (1m)12.91%
EPS NQ rev (3m)65.48%
EPS NY rev (1m)4.03%
EPS NY rev (3m)25.42%
Revenue NQ rev (1m)4.74%
Revenue NQ rev (3m)26.4%
Revenue NY rev (1m)1.51%
Revenue NY rev (3m)13.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.58 | ||
| Fwd PE | 59.53 | ||
| P/S | 31.7 | ||
| P/FCF | 25.12 | ||
| P/OCF | 24.78 | ||
| P/B | 14.01 | ||
| P/tB | 15.08 | ||
| EV/EBITDA | 64.35 |
EPS(TTM)1.97
EY1.55%
EPS(NY)2.14
Fwd EY1.68%
FCF(TTM)5.06
FCFY3.98%
OCF(TTM)5.13
OCFY4.04%
SpS4.01
BVpS9.08
TBVpS8.44
PEG (NY)7.84
PEG (5Y)N/A
Graham Number20.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.06% | ||
| ROE | 22.15% | ||
| ROCE | 18.65% | ||
| ROIC | 5.8% | ||
| ROICexc | 15.89% | ||
| ROICexgc | 17.19% | ||
| OM | 42.89% | ||
| PM (TTM) | 50.13% | ||
| GM | 94.76% | ||
| FCFM | 126.16% |
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
ROICexgc growth 3YN/A
ROICexgc 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-Score9
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.57 | ||
| Debt/FCF | 2.81 | ||
| Debt/EBITDA | 7.84 | ||
| Cap/Depr | 75.9% | ||
| Cap/Sales | 1.77% | ||
| Interest Coverage | 76.5 | ||
| Cash Conversion | 282.89% | ||
| Profit Quality | 251.68% | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.25 | ||
| Altman-Z | 2.92 |
F-Score9
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)496.97%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y8.23%
EPS Next 2Y16.67%
EPS Next 3Y14.15%
EPS Next 5Y8.83%
Revenue 1Y (TTM)59.38%
Revenue growth 3Y17.59%
Revenue growth 5Y60.45%
Sales Q2Q%45.01%
Revenue Next Year48.01%
Revenue Next 2Y33.31%
Revenue Next 3Y25.07%
Revenue Next 5Y15.1%
EBIT growth 1Y401.64%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year170.93%
EBIT Next 3Y57.03%
EBIT Next 5Y29.37%
FCF growth 1Y295.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y289.33%
OCF growth 3YN/A
OCF growth 5YN/A