Mizuho reaffirms $120 price target on Robinhood, cites tokenized stock ambitions and crypto resilience
Mizuho Securities analysts said Monday that after meeting with Robinhood CEO Vlad Tenev, they are keeping their "outperform" rating and price target for HOOD shares at $120."[Robinhood] aims to aggressively capitalize on the $100 trillion upcoming wealth transfer opportunity as younger generations have a large appetite for investing, seeking exposure to private markets, crypto and equities," Mizuho analysts led by Dan Dolev wrote in a research note. "We were particularly impressed by the opportunity to tokenize stocks in Europe, move up-market and potentially to teens, 15% of net deposits coming from competitors, focus on NPS / execution as key growth drivers and crypto price inelasticity."The decision for Mizuho analysts to keep their price target in place comes only a little over a month after they raised their price target on the stock from $80 to $99. At the time, analysts praised Robinhood for a "staggering" product velocity.Competition among U.S.-regulated cryptocurrency trading platforms is heating up as Coinbase, Kraken, and Robinhood all seek to take advantage of the bullish market while also attracting new customers with innovative products like tokenized securities, which are essentially digital tokens that track the price of popular stocks.Robinhood last week reported robust year-over-year growth in crypto trading. The firm's crypto trading volume rose 32% year-over-year to $28 billion, down from $46 billion in the first quarter. The brokerage generated more than $141 billion in crypto trading volumes in 2024, driven by a post-election surge.On the same day it reported earnings that showed its spot crypto trading volumes are eroding, Coinbase said it will soon also offer tokenized stocks, access to prediction markets, and early-stage token sales.Mizuho analysts appear confident that Robinhood, even if it might sometimes cost more to use, will continue to have success siphoning off customers from competitors."About 15% of net deposits come from competitors (the remainder is cash from banks). One key advantage is that HOOD can assess LTV potential of customers and offer personalized incentives for transferring customer assets if needed," the analysts said.Mizuho seems to believe the international market will one day be larger than the U.S., and Robinhood's strategy of gaining market share internationally should pay off. "Tokenizing stocks can be the leading way for non-U.S. investors to get exposure to U.S. equities," they said.Robinhood's stock closed Monday up more than 6% at $106.37 per share, according to The Block's HOOD price data.Disclaimer: The Block is an independent media outlet that delivers news, research, and data. As of November 2023, Foresight Ventures is a majority investor of The Block. Foresight Ventures invests in other companies in the crypto space. Crypto exchange Bitget is an anchor LP for Foresight Ventures. The Block continues to operate independently to deliver objective, impactful, and timely information about the crypto industry. Here are our current financial disclosures.© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.