Mizuho Securities analysts, following a recent meeting with Robinhood's (NASDAQ:HOOD) management, reiterate a Buy rating and $14 price target on the online brokerage company in light of the SEC's recent crypto crackdowns on Coinbase (NASDAQ:COIN) and Binance.
After talking to Vlad Tenev, HOOD's CEO & co-Founder, during a recent NYC group meet, the analysts believe "HOOD should be largely insulated to the recent SEC crypto debacle since only ~2% of crypto assets under custody (AUC) - or <1% of total AUC - include potentially controversial tokens like Polygon, Solana, or Cardano."
In the meeting, the management also reiterated its intent "to pursue opportunistic M&A and buybacks and expand internationally," and plans to "launch in the UK by the end of the year."
Furthermore, the management highlighted its longer-term plan "to develop AI advisory that democratizes wealth-management by bringing high-end financial services to main street," outlining a new potential growth direction.
Overall, Mizuho analysts remain "upbeat about HOOD's future prospects," as they reiterate a Buy rating and a $14 price target.
Shares of HOOD closed at $9.39 yesterday, and are up over 16% YTD.