Robinhood Markets Inc. (HOOD) — RQD Stock Rating Cockpit

Per the Roarable RQD rating, HOOD scores 61 out of 100, graded C- as a "Roarable Hold — Cautious Neutral." Across the five pillars, the fundamental cash engine scores 18 of 20, supported by ROIC of 27.5% and an FCF yield of 1.74%. This is the strongest pillar and suggests the business generates substantial returns on capital, though the low FCF yield indicates that the market is pricing in a considerable premium relative to current free cash flow.

The whale/13F flow pillar scores 8 of 20 for institutional accumulation and options positioning. The insider conviction pillar scores 13 of 20 for SEC Form 4 and Congressional PTR cluster flow. The macro regime fit pillar scores 7 of 20, reflecting a beta of 0.9 and sector sensitivity. The forensic balance sheet pillar scores 15 of 20, with an Altman Z-Score of 2.5, a Piotroski F-Score of 8 of 9, and a debt-to-equity ratio of 0.5.

For a prospective investor evaluating the stock today, the rating points to a profitable, capital-efficient business with a sound balance sheet, offset by weaker signals from institutional flow and macro/sector fit, and a valuation that the cash-flow yield does not clearly support. The upside case rests on sustaining the cash-generation profile; the valuation tradeoff is that the stock trades at a P/E (TTM) of 43.8 and an EV/EBITDA of 31.7. The rating is a neutral signal, not a directional call.

Robinhood Markets Inc. is a NASDAQ-listed issuer in the Financials sector, operating within the Investment Bankers/Brokers/Service industry. Per the profile section, the company operates in this sector and industry with a market capitalization of $82.5B. The source data does not detail its product lines, customer base, or revenue model beyond the sector classification and the Butterfly Supply-Chain Graph's reference to transaction-based revenues from crypto and options. Per the Butterfly Supply-Chain Graph, its transaction revenues include crypto and listed options trading activity.

Per the SEC financials, revenue rose from $1865.0M in FY 2023 to $4473.0M in FY 2025, and operating income moved from $-638.4M to $2221.9M over the same span. Per the market data, operating margin is 51.4%, net margin is 42.1%, and ROIC is 27.5%. Per the RQD rating, the Altman Z-Score is 2.5 and the Piotroski F-Score is 8 of 9. Debt is reported at $0.0M for FY 2025 after $8196.8M in FY 2024, and debt-to-equity is 0.5 per the RQD forensic pillar. Gross margin is reported as 0%.

Per the recent news section, the headlines are dominated by market-action coverage with mixed impact labels. A Reuters report is flagged RISK WATCH, describing a profit miss as crypto trading slowed. A CNBC report is flagged CATALYST, noting shares fell as a crypto slump weighed on profits while gains in new businesses partly offset this. Yahoo Finance reports are labeled MARKET WIRE or CATALYST and cover a share decline of 5.6%, a stock down 40% from highs, a stock about a third below its record high, and an upcoming Q3 earnings report.

Per the Butterfly Supply-Chain Graph, one link is recorded: a SUBSTITUTE relationship from IBIT to HOOD, classified as CONFIRMED_FILING with a TAILWIND direction effect, theme "Bitcoin Spot ETFs, Custody, Miners & High-Compute Power." The exposure estimate is ~18%–25% of Robinhood transaction revenue in crypto plus listed IBIT ETF options flow, sourced to the FY2024 Form 10-K. The graph lists no proprietary signals. The identified next catalyst is Robinhood Monthly Operating Metrics covering crypto notional trading volume and options contract growth.

Per the Butterfly Supply-Chain Graph, the supply-chain field is recorded as NONE, so no upstream or downstream supplier dependencies are established in the source data. The graph's sole link runs through the crypto treasury/ETF theme. Per that link, price-sensitive traders shifting from direct spot BTC into IBIT ETF shares may dilute blended crypto revenue yield unless offset by IBIT options contracts. The competing explanation given is that prolonged crypto retail volume winters have historically driven sharp sequential drops in Robinhood crypto transaction revenue despite steady ETF AUM. Sector correlation data beyond the beta of 0.9 is not available in source data.

• What is the FY 2025 EPS figure, given the financials section reports EPS as N/A for all periods?
• What is the gross margin basis behind the reported 0% figure?
• What proportion of revenue derives from crypto versus equities and options, beyond the 18%–25% exposure estimate?
• What analyst consensus, price targets, and institutional or insider holdings exist for the stock?
• Why is the FY 2024 cash balance of $4332.0M and FY 2025 cash of $4261.0M reported alongside the FY 2023 cash balance as N/A?