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Robinhood (HOOD) CEO Vlad Tenev’s AI Math Start-Up Is Valued at $875 Million

Robinhood (HOOD) CEO Vlad Tenev’s AI Math Start-Up Is Valued at $875 Million

Harmonic AI, an artificial intelligence start-up co-founded by Robinhood Markets (HOOD) CEO Vlad Tenev, has raised $100 million in new funding based on an $875 million valuation.

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The start-up company is focused on improving a subject that often confounds AI models and applications: mathematics. The latest Series B funding round values Harmonic AI at $875 million, said Tenev, who serves as the company’s executive chairman.

Founded in 2023 by Tenev and company CEO Tudor Achim, Silicon Valley-based Harmonic AI is focused on building AI systems that can solve complex math problems, creating what the company refers to as “mathematical superintelligence.” Harmonic plans to make its AI model called “Aristotle” available to researchers and the general public by year’s end.

Solving Math Problems

“The near-term goal is to build an AI that solves math problems at a level that is superior to any human,” said Tenev in a recent media interview. “The ultimate goal would be to solve major unsolved mathematical problems and expand that to problems in physics and computer science.”

Tenev said privately held Harmonic’s mathematics approach should give it an advantage over large language models, which underpin AI chatbots and are generally not as adept at solving complicated math equations. Harmonic also seeks to eliminate the issue of AI hallucinations, which is when a chatbot makes up information. Harmonic AI previously raised $75 million in a funding round.

HOOD stock has gained 164% this year.

Is HOOD Stock a Buy?

The stock of Robinhood Markets has a consensus Moderate Buy rating among 21 Wall Street analysts. That rating is based on 15 Buy, five Hold, and one Sell recommendations issued in the last three months. The average HOOD price target of $79.85 implies 15.54% downside from current levels.

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