Robinhood to rally on prediction markets and new offerings, Bernstein says

Robinhood Markets is poised to see considerable upside due to its deepening push into crypto and prediction markets, among other offerings, per Bernstein. 

Skip NavigationJoin ICJoin ProLivestreamMenuRobinhood Markets will get a big boost from prediction markets and other newer products and services incorporating emerging technologies, according to Bernstein. The investment firm has an outperform on the trading platform along with a $160 price target on shares, implying about 69% upside from Tuesday’s close. “Prediction markets and new products [are likely] to drive [the] next leg of growth,” analyst Gautam Chhugani said Wednesday in a note to clients. “For us, the stock over next 12-18 months will be driven by how fast the platform scales new products as U.S regulation and market structure move rapidly.” HOOD YTD mountain HOOD year to date Robinhood’s third-quarter prediction market revenue increased six-fold on a year-over-year basis, according to Bernstein. Chhugani added that revenue from non-sports contracts increased 30%. He also noted that Rothera, a derivatives exchange and clearinghouse, became Robinhood’s 14th business to cross $100 million in annualized revenue — another boon for the stock. Chhugani also highlighted Robinhood’s crypto business. “The crypto business is evolving from crypto native retail-trading to an infrastructure business,” Chhugani wrote. “HOOD chain has seen strong adoption ($100Bn exchange volumes on-chain since launch) and strong investor interest in stock token trading (~200 equity tokens live) and perp futures.” Of the 33 analysts covering Robinhood Markets, 27 have a buy or strong buy rating on the stock, while five have a hold on it, LSEG data shows. Shares are down more than 16% in 2026. The stock slipped another 7% premarket on the back of the company’s third-quarter report .Read More

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