Barclays Sets $82 Target on Robinhood Despite Cathie Wood Holdings

Robinhood Markets (NASDAQ: HOOD) received a reiterated Buy rating from Barclays analyst Benjamin Budish on June 22, with a price target of $82 implying close to 20% downside from current trading levels, despite remaining a top holding in Cathie Wood's ARK funds. The analyst maintained his rating even as the stock closed at $103.25, down 2.33%, following a $2 billion convertible debt raise announcement. Robinhood's crypto revenue fell 47% year over year to $134 million in the first quarter of 2026, while crypto trading volume on the app dropped 48% year over year to $24 billion, raising questions about valuation sustainability despite the company's June 2025 acquisition of exchange Bitstamp.

Robinhood Announces $2 Billion Debt Raise and 10% Workforce Cut

Robinhood confirmed plans on June 22 to sell $2 billion in convertible senior notes due 2029. Roughly $300 million of the proceeds is earmarked for share buybacks, with a portion funding capped calls designed to offset dilution up to a 125% premium. The stock dropped about 2.2% in premarket trading on the news.

On June 16, Robinhood announced it would cut about 10% of its full-time workforce to ship products faster and run leaner. The layoff announcement came just days before the debt raise.

Total crypto notional volume came in at $66 billion in the first quarter of 2026, but that figure includes $42 billion from Bitstamp, which Robinhood only began consolidating into its results in June 2025 and which carries no year-over-year comparison.

Cathie Wood's ARK Funds Sell $29 Million in Robinhood Shares

On June 17, Wood's ARK funds trimmed exposure, with ARKK selling 275,572 Robinhood shares, worth nearly $29 million.

Yet HOOD remains a top holding across her crypto-leaning portfolios. As of June 23, it is the second-largest position in ARKF at 6.56%, the third-largest in ARKK at 4.94%, and the third-largest in ARKW at 6.11%.

FAQ

Why did Barclays set an $82 price target on Robinhood despite a Buy rating?

Barclays analyst Benjamin Budish reiterated his Buy rating on Robinhood on June 22 but left his price target at $82, well below the stock's current trading level of $103.25, implying close to 20% downside. The target reflects concern that the stock has run too far relative to fundamentals, including a 47% year-over-year decline in crypto revenue to $134 million in the first quarter of 2026.

What is Cathie Wood's current position in Robinhood after the June 17 sale?

On June 17, Cathie Wood's ARK funds sold 275,572 Robinhood shares worth nearly $29 million. As of June 23, HOOD remains the second-largest position in ARKF at 6.56%, the third-largest in ARKK at 4.94%, and the third-largest in ARKW at 6.11%.