In this article, we discuss 10 stocks trending on Robinhood. If you want to check out some more stocks in this selection, click 5 Stocks Trending on Robinhood.
Robinhood Markets, Inc. (NASDAQ:HOOD) is a California-based financial services company that has been around since 2013, but gained mainstream recognition in the pandemic years. The company came into the spotlight when retail investors flocked to the trading platform for its commission-free transactions.
It initially became famous for allowing investors to trade meme stocks such as AMC Entertainment Holdings, Inc. (NYSE:AMC) and GameStop Corp. (NYSE:GME).
Previously, Robinhood allowed 30 minutes for trading pre-market on its platform, and two hours after the close. As customers demanded more trading hours to accommodate their schedules, the company announced on March 29 that it now offers trading from 7 a.m. to 8 p.m. ET. Robinhood’s monthly active users increased 48% to 17.3 million in December 2021, compared to 11.7 million in December 2020. Revenue for 2021 was up 89% year-over-year to $1.82 billion, compared to $959 million in 2020.
Robinhood remains an active trading platform for stocks and cryptocurrencies alike. Some of the stocks that have been trending on the platform lately include Alphabet Inc. (NASDAQ:GOOG), NVIDIA Corporation (NASDAQ:NVDA), and Exxon Mobil Corporation (NYSE:XOM), among others discussed at length ahead.
Our Methodology
We carefully observed the Robinhood platform to assess the stocks that were trending among investors over the last few weeks. We have mentioned the analyst ratings and hedge fund sentiment for each stock.
Data from 900+ elite hedge funds tracked by Insider Monkey at the end of December 2021 was used to identify the number of hedge funds that hold stakes in each firm.
Stocks Trending on Robinhood
10. Alpha Metallurgical Resources, Inc. (NYSE:AMR)
Number of Hedge Fund Holders: 30
Alpha Metallurgical Resources, Inc. (NYSE:AMR) was incorporated in 2016 and is headquartered in Bristol, Tennessee. It operates as a mining company that sells thermal coal in Virginia and West Virginia.
On March 7, Alpha Metallurgical Resources, Inc. (NYSE:AMR) reported its Q4 results, posting earnings per share of $13.45, outperforming estimates by $2.01. Revenue over the period came in at $828.22 million, exceeding analysts’ predictions by $102.47 million.
Riley analyst Lucas Pipes upgraded Alpha Metallurgical Resources, Inc. (NYSE:AMR) on March 10 to Buy from Neutral with a price target of $155, up from $143, implying 28% upside. The analyst was impressed with Alpha Metallurgical Resources, Inc. (NYSE:AMR)’s operational execution over the past several months and believes the company is set up for a “significantly improved” 2022.
Among the hedge funds tracked by Insider Monkey, 30 funds were bullish on Alpha Metallurgical Resources, Inc. (NYSE:AMR), compared to 19 funds in the previous quarter. Alta Fundamental Advisers is the largest shareholder of the company, with more than 1 million shares worth $64 million.
In addition to Alphabet Inc. (NASDAQ:GOOG), NVIDIA Corporation (NASDAQ:NVDA), and Exxon Mobil Corporation (NYSE:XOM), Alpha Metallurgical Resources, Inc. (NYSE:AMR) is a notable stock that was recently trending on Robinhood.
9. Palantir Technologies Inc. (NYSE:PLTR)
Number of Hedge Fund Holders: 33
Palantir Technologies Inc. (NYSE:PLTR) is an American software company that deals in big data analytics and intelligence services for governments and private companies.
On February 22, Palantir Technologies Inc. (NYSE:PLTR) announced that the Centers for Disease Control and Prevention awarded it a contract worth $5.3 million for a duration of six months. The contract will enable the Centers for Disease Control and Prevention to act as a reliable technology partner in the government’s response to COVID-19 by supporting federal supply chain efforts.
Piper Sandler analyst Weston Twigg initiated coverage of Palantir Technologies Inc. (NYSE:PLTR) on March 9 with an Overweight rating and a $15 price target. According to the analyst, the company is enhancing its customers’ operational efficacy by pairing software, artificial intelligence, and data analytics into “powerful, central IT solutions”. The analyst noted that the Ukraine war might lead to early intelligence technology adoption among the American and international government clients.
In the fourth quarter of 2021, 33 hedge funds were bullish on Palantir Technologies Inc. (NYSE:PLTR), compared to 35 funds in the prior quarter. The total stakes held in Q4 amounted to $1.2 billion. ARK Investment Management is the leading shareholder of the company, owning a position worth $642.5 million.
Here is what Tao Value has to say about Palantir Technologies Inc. (NYSE:PLTR) in its Q4 2021 investor letter:
“We have no new position this quarter and have made below changes to our portfolio. We also sold Palantir (PLTR) as I identified it subject to high retail bubble risk (using above method) and are not part of our core “Mindful Compounder” holdings.”
8. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Number of Hedge Fund Holders: 33
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) is an Israel-based company that provides container shipping and ocean cargo services worldwide. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) has been trending lately on Robinhood, and the stock has gained over 30% year-to-date.
The company published its fourth quarter results on March 9, posting earnings per share of $14.16, outperforming market consensus by $0.96. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)’s revenue for the period jumped roughly 155% year-over-year to $3.47 billion, topping analysts’ consensus estimates by $101.23 million.
On March 9, ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) declared a $17.00 per share dividend, which is payable on April 4 to shareholders of record March 23. The company distributed 50% of its 2021 net income to shareholders.
Jefferies analyst Randy Giveans on March 10 raised the price target on ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) to $120 from $100 and reiterated a Buy rating on the shares after the company’s earnings beat and massive dividend payout, which was at the top end of its guided 30-50% of fiscal year net income dividend policy. The analyst also increased his 2022 and 2023 EPS estimates following the Q4 results.
Among the hedge funds tracked by Insider Monkey, 33 funds reported owning stakes in ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) in the fourth quarter of 2021, up from 22 funds in the earlier quarter. Marshall Wace LLP is the leading shareholder of the company, with 2.70 million shares worth $159.3 million.
Here is what Evermore Global Advisors has to say about ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) in its Q2 2021 investor letter:
“ZIM Integrated Shipping Services (ZIM) was the largest contributor to the Fund’s performance during the second quarter. With a market cap of $5.2 billion, ZIM is an Israel-based containership operator that had its initial public offering on the New York Stock Exchange this past January. As a reminder, we discussed ZIM at length in the Q1 2021 quarterly commentary as one of the new investments that we initiated during that period.
There were several notable developments during the second quarter. Given the company’s unique asset light business model and targeted, global niche approach, ZIM continued to generate exceptionally strong cash flows. ZIM ended the period with approximately $1.25 billion in cash and about $915 million in net debt. Due to the strong operational performance, the company further strengthened its balance sheet by redeeming its Series 1 and Series 2 unsecured notes due in 2023. With the early redemption of the unsecured notes, ZIM was no longer subject to certain dividend restrictions, and it declared a special dividend of $2 per share, which will be payable on Sept 15th (goes ex on August 24th). Lastly, management revised its 2021 full year EBITDA guidance from $1.4 – 1.6 billion to $2.5 – $2.7 billion, which was a sizable increase compared to the levels set last March. To that end, we continue to have high conviction in our position in ZIM.”
7. Roblox Corporation (NYSE:RBLX)
Number of Hedge Fund Holders: 61
Roblox Corporation (NYSE:RBLX) is a California-based entertainment company that allows users to navigate the 3D digital world with immersive gaming and collaborative experiences. Roblox Corporation (NYSE:RBLX) is one of the hottest stocks on Robinhood lately.
On March 29, Daiwa analyst Jonathan Kees initiated coverage of Roblox Corporation (NYSE:RBLX) with an Outperform rating and a $56 price target. The analyst believes that the mobile gaming market and the metaverse market has the potential to grow significantly. While Roblox Corporation (NYSE:RBLX)’s competition “remains quite strong”, the market opportunity is huge and there is enough room for current players.
According to the fourth quarter database of Insider Monkey, 61 hedge funds held long positions in Roblox Corporation (NYSE:RBLX), up from 50 funds in the last quarter. The total stakes owned by elite funds in Roblox Corporation (NYSE:RBLX) amounted to more than $4 billion at the end of December 2021. Renaissance Technologies held the largest position in the company, with 5.3 million shares worth $557 million.
Here is what Tao Value has to say about Roblox Corporation (NYSE:RBLX) in its Q4 2021 investor letter:
“Roblox (RBLX) got significant more attention from both institutional & retail investors after Facebook announced to rename itself as Meta Platforms. I believe the price appreciation is largely attributed to the increased attention. On the business side, Roblox rolled out a few successful music events and also partnered with Netflix on testing long-form media consumption in the virtual world. Apple in its iOS 14.5 rolled out an impactful change for the digital advertising landscape by requiring all apps to ask users to “opt in”.
6. Advanced Micro Devices, Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 69
Advanced Micro Devices, Inc. (NASDAQ:AMD) is headquartered in Santa Clara, California, operating as a semiconductor company worldwide. The company specializes in semiconductors, artificial intelligence, GPUs, graphics cards, consumer electronics, video games, and computer hardware.
Advanced Micro Devices, Inc. (NASDAQ:AMD) reported its Q4 results on February 1, posting earnings per share of $0.92, beating estimates by $0.16. Revenue over the period jumped roughly 49% year-over-year to $4.83 billion, exceeding market consensus by $296.39 million.
On March 27, Goldman Sachs analyst Toshiya Hari maintained a Buy rating on Advanced Micro Devices, Inc. (NASDAQ:AMD), but removed the stock from the firm’s Conviction List. The price target of $127 implies 6% potential upside. The analyst remains positive about Advanced Micro Devices, Inc. (NASDAQ:AMD)’s growing serviceable addressable market, potential upside to market share, and the possibility of expanding gross and operating margins. However, he expects Wall Street estimates to stabilize over the coming quarters as the total addressable market for personal computers declines, competition in the CPU space intensifies, and GPU demand normalizes.
According to the fourth quarter database of Insider Monkey, 69 hedge funds were bullish on Advanced Micro Devices, Inc. (NASDAQ:AMD), compared to 65 funds in the earlier quarter. Fisher Asset Management, a notable shareholder of the company, boosted its stake in Advanced Micro Devices, Inc. (NASDAQ:AMD) by 27%, holding approximately 20 million shares worth $2.8 billion.
Investors on Robinhood are flocking to Advanced Micro Devices, Inc. (NASDAQ:AMD), in addition to Alphabet Inc. (NASDAQ:GOOG), NVIDIA Corporation (NASDAQ:NVDA), and Exxon Mobil Corporation (NYSE:XOM).
Here is what Carillon Tower Advisers has to say about Advanced Micro Devices, Inc. (NASDAQ:AMD) in its Q4 2021 investor letter:
“Advanced Micro Devices (AMD) supplies semiconductor chips for central processing units (CPUs) and graphic processing units (GPUs). The firm has been gaining share against its primary competitor in the datacenter server CPU space, as this rival has been unable to match the design and manufacturing capabilities of AMD and its partners. Investors are also looking forward to the closing of the previously announced merger with a semiconductor manufacturer that is another one of the portfolio’s holdings. The merger will increase AMD’s capabilities in the Field Programmable Gate Array (FPGA) chip space, and the combined company should possess the potential to win additional market share in the datacenter chip market.”
Click to continue reading and see 5 Stocks Trending on Robinhood.
Suggested articles:
- 10 Dividend Stocks with Over 10% Yield
- 10 Nuclear Energy Stocks to Buy Now
- 10 Safe Dividend Stocks to Buy Today
Disclosure: None. 10 Stocks Trending on Robinhood is originally published on Insider Monkey.
