Bernstein sees 87% upside for Robinhood as prediction markets surge, says ‘crypto jitters’ are temporary

Wall Street research firm Bernstein has issued a bullish outlook for Robinhood Markets (HOOD), projecting an 87% upside for the trading platform’s stock. Analysts at the firm believe that the recent surge in popularity of prediction markets will serve as a significant tailwind for the company’s growth. Despite recent volatility in the digital asset space, Bernstein dismissed current “crypto jitters” as temporary, suggesting that the broader market cycle remains healthy.

In a recent note to investors, Bernstein highlighted Robinhood’s strategic move to integrate event-based trading, such as prediction markets for the U.S. presidential election, as a major catalyst for user engagement and market share expansion. The analysts noted that Robinhood is uniquely positioned to capture retail interest in high-growth segments, bridging the gap between traditional finance and emerging crypto-native products.

Furthermore, the report emphasizes that Robinhood’s expanded crypto offerings and improved cost structures are expected to drive long-term profitability. While some investors have expressed concern over regulatory uncertainty and market fluctuations, Bernstein maintains that the platform’s evolution into a comprehensive financial services powerhouse justifies a significantly higher valuation. The firm’s price target reflects a conviction that Robinhood will emerge as a primary beneficiary of the ongoing convergence between equity and digital asset trading.

Source: Bernstein sees 87% upside for Robinhood as prediction markets surge, says ‘crypto jitters’ are temporary