Investing platform Robinhood (HOOD) is getting a lot of attention from Wall Street as it continues to grow and add new features. Indeed, both Deutsche Bank (DB) and Truist Securities (TFC) have rated the stock a Buy due to strong growth expectations. Even though Robinhood’s stock has already jumped over 220% this year, analysts believe there’s still room for the company to go higher in 2026 and beyond. One big reason is Robinhood’s move into prediction markets.
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For reference, these are new types of yes/no contracts that let users bet on the outcome of events, like elections or sports. At a recent event, Robinhood’s management said it believes that prediction markets are in the early stages of a major “supercycle.” In addition, Deutsche Bank believes that these markets could grow to handle 1 trillion contracts in the U.S. by 2027 and to over 5 trillion by 2029. Truist Securities also likes Robinhood’s ability to attract wealthier and more active customers.
Four-star analyst David Smith explained that new features and updates are helping the company grow its user base and gain market share. Robinhood also benefits from efficient scale, meaning that it can grow while becoming more profitable. As profits rise, Robinhood can use the extra money to build new tools or make smart business deals. Truist expects the company to grow revenue by over 50% for a second year in a row, and believes that 20% yearly growth is possible in the future, even as the business gets bigger. Both firms say the stock’s high valuation is justified because of this strong growth and improving profits.
Is HOOD a Good Stock to Buy?
Overall, analysts have a Moderate Buy consensus rating on HOOD stock based on 16 Buys, five Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average HOOD price target of $152.16 per share implies 24.3% upside potential.


