Needham raises Robinhood price target to $97 on event-contract growth
Needham raised its price target on Robinhood Markets to $97 from $85, citing acceleration in the company's equities, options, and event contracts businesses. The upgrade, issued June 11, ties the new valuation partly to Robinhood's growing event-contracts segment and is based on a 27x multiple on Needham's earnings projection. The firm pointed to data Robinhood released June 9 showing significant acceleration in equities and event contracts trading during May, though crypto volumes declined during the period. Robinhood shares rose following the analyst action. The price target increase comes as Robinhood has been building out its own Rothera prediction-markets venue to compete with incumbent platforms.
The $97 target gives Robinhood fresh equity-valuation ammunition to fund its Rothera clearing build-out and pull more event-contract volume away from Kalshi's infrastructure. Any sustained execution against Bernstein's parallel $586 million revenue forecast would force Kalshi to rebuild its retail flow pipeline without Robinhood driving the majority of its volume.