HOOD Stock Jumps Premarket: Singapore Approval Opens Asia Door Ahead Of Q1 Print Next Week

• The approval allows Robinhood to offer securities trading, derivatives access, custody, financing and investment-fund services through its Singapore unit.
• Robinhood said Singapore will serve as its Asia-Pacific headquarters.
• Analyst estimates also point to a quarterly decline across all key metrics.

Shares of Robinhood Markets (HOOD) rose nearly 2% in premarket trading on Friday after the company secured regulatory clearance to expand into Singapore, helping offset a wave of mixed price-target updates ahead of its first-quarter earnings report due next week.

HOOD stock is set to snap three straight sessions of weekly gains, declining nearly 8% so far this week.

Singapore Set As Robinhood’s APAC Headquarters 

Robinhood said on Thursday that it received in-principle approval from the Monetary Authority of Singapore (MAS) to offer brokerage services through its local unit, marking a key regulatory milestone in its push to deepen its presence across the Asia-Pacific region.

The approval paves the way for Robinhood to eventually provide trading services in securities, exchange-traded derivatives, custody services, product financing and collective investment funds.

“Singapore’s world-class regulatory environment, high rates of digital adoption, and growing population of retail investors make it the ideal hub for our mission,” said Patrick Chan, Head of Asia for Robinhood. “We see enormous potential to democratize the financial markets for a new generation of investors in Singapore.”

Robinhood said Singapore will serve as its Asia-Pacific headquarters, with its regional presence gaining strength from an existing unit called Bitstamp Asia, which holds a Major Payment Institution license from the MAS. 

Johann Kerbrat, Robinhood’s international and crypto general manager, said on X: “Singapore, here we come. Robinhood has received in-principle approval (IPA) from MAS to offer brokerage services. We’re excited to deepen our presence in SG, our APAC headquarters and empower more investors across the globe.”

HOOD Q1 Preview

According to Koyfin data, analyst price targets on HOOD currently imply a downside of as much as 40% and upside of up to about 86% from current levels ahead of next week’s earnings report. The average price target over the next year still implies a 21% upside from the stock’s last close. HOOD is covered by 27 analysts, including 4 ‘strong buy’, 15 ‘buy’, 5 ‘hold’ and 3 ‘sell’ ratings, with no ‘strong sell’ ratings.

However, consensus estimates point to quarter-over-quarter declines across all major financial metrics, with revenue expected to fall to $1.14 billion from $1.28 billion, earnings before interest, taxes, depreciation and amortization (EBITDA) projected to decline to $582.01 million from $761 million, and earnings before interest and taxes (EBIT) seen easing to $454.63 million from $650 million, while earnings per share (EPS) are forecast to drop to $0.43 from $0.73.

Wall Street Split Ahead Of HOOD Q1 Print

Most recently, JPMorgan cut its price target to $92 from $113 and maintained a ‘Neutral’ rating after the brokerage said that the decline in estimates was “mostly driven by lower net interest revenue and higher expenses” and pointed to “the limited outlook on retail engagement going forward.”

Meanwhile, Mizuho raised its price target to $115 from $105 earlier this week, and said the removal of the $25,000 pattern day-trader minimum could increase trading activity by 3% and translate to a 1% to 2% upside to fiscal 2027 sales estimates.

Cantor Fitzgerald raised its price target to $110 from $95 and maintained an ‘Overweight’ rating, saying “Q1 estimates look largely achievable, with forward guidance and Middle East developments likely acting as the main catalysts.” On the other hand, KeyBanc lowered its price target to $110 from $120, citing a “less constructive” outlook for stocks exposed to digital assets.

How Do Retail Traders Feel About HOOD?

On Stocktwits, retail sentiment for HOOD slipped to ‘neutral’  from ‘bullish’ levels in the run-up to its earnings release amid a 48% decline in chatter volumes over the past week.

One user said, “The fact that it’s down before earnings is actually a good thing is that means that it will have more room to run?”

Another user said, “If it dumps on earnings on the 28th sentiment is finished for the year.”

HOOD stock has jumped 87% over the past year. 

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