Robinhood Markets’ (HOOD) shares fell over 1% early Thursday despite the online trading platform provider marking a new milestone in its international expansion push. The company has secured a conditional, preliminary approval to operate its brokerage services in Singapore.
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The authorization, called in-principle approval, means that the U.S. company can introduce offerings such as stock and derivatives trading as well as custody and product financing to traders in one of the world’s key financial hubs. Patrick Chan, Robinhood’s head for Asia, noted that the company sees “enormous potential to democratize the financial markets for a new generation of investors in Singapore.”
Robinhood Ramps Up International Expansion
Robinhood was founded in April 2013 in California. However, the company has since expanded beyond its U.S. roots and launched its brokerage services in the U.K. in 2024.
Last year, Robinhood also secured a brokerage license in Lithuania, which opens the online trading firm up to the 27 markets across the European Union region plus Iceland, Liechtenstein, and Norway. It also received authorization under the EU’s Markets in Crypto-Assets rules to offer crypto services to users across the region.
Robinhood Diversifies into Prediction Markets
The new approval in Singapore — which usually predates the granting of a license to a company — adds to Robinhood’s existing presence in Singapore, where its subsidiary already holds a major payment institution license from the Monetary Authority of Singapore. The city-state serves as the company’s Asia-Pacific headquarters.
Robinhood shares are up 25% over the past month, even as the company continues to diversify into areas such as prediction markets and is aiming to become a financial super app. Contract volumes across these markets are expected to surpass 5 trillion by 2029.
Is HOOD a Good Stock to Buy?
On Wall Street, analysts remain highly bullish on Robinhood Markets’ shares and have a Strong Buy consensus rating on the stock. This is based on 14 Buys and three Holds assigned over the past three months.
In addition, the average HOOD price target of $107.24 implies about 21% upside.
