Bernstein raises Robinhood price target, cites tokenization and prediction markets

The brokerage’s blockchain strategy, including tokenized equities and its Arbitrum-based Robinhood Chain, could reduce its reliance on traditional crypto trading, analysts said.

Analysts at Bernstein have raised their price target on Robinhood Markets, based on their investment thesis that the online brokerage’s next phase of growth will be driven by tokenized equities and prediction markets rather than traditional crypto trading.

In a Monday research note, Bernstein raised its price target on Robinhood (HOOD) stock to $160 from $130 per share and maintained its Outperform rating. HOOD stock was last seen trading around $101.

The analysts said prediction markets are poised to become Robinhood’s fastest-growing business, forecasting segment revenue to reach $1.7 billion by 2028, representing a 64% compound annual growth rate.