Key Takeaways
- Robinhood Markets stock popped Tuesday, and its shares are up more than two-thirds in 2025.
- Bank of America raised its price target for the DIY brokerage’s stock to $65 from $60.
- Robinhood also agreed to acquire Canadian crypto platform WonderFi for about C$250 million ($179 million).
Shares of Robinhood Markets (HOOD) surged Tuesday after Bank of America raised its price target for the do-it-yourself online brokerage’s stock.
The bank upped its target to $65 from $60, implying a 13% upside from Monday’s closing level of $57.43. Robinhood stock jumped almost 10% to around $63 in recent trading and is up nearly 70% in 2025.
BofA pointed to Robinhood’s ability to generate strong organic growth “without significant expense inflation.” The brokerage “is working on multiple sizable initiatives in parallel and only a few will need to be successful,” the analysts said. Those projects include upgrades to desktop trading platform Robinhood Legend, which launched in the fourth quarter of 2024, and an AI-powered customer service assistant called Cortex that is expected in the fourth quarter of 2025, BofA wrote.
Robinhood Buys Canadian Crypto Exchange
Also Tuesday, Robinhood agreed to acquire WonderFi, a Canadian cryptocurrency exchange operator, for roughly C$250 million ($179 million) in an all-cash deal. WonderFi operates the crypto exchanges Bitbuy and Coinsquare, and is backed by “Shark Tank” co-host Kevin O’Leary. Robinhood reported cryptocurrency transaction revenue of $252 million in the first quarter.
