Bernstein analysts told clients this week that the company’s inclusion in the S&P 500 is more than symbolic — it provides a foundation for growth into wealth management, payments, and even tokenized securities. They argue Robinhood’s rapid product rollout and ability to capture market share leave it with far greater upside than many of its traditional brokerage rivals.
Robinhood’s footprint has grown sharply over the past two years. Equity market share has doubled since 2023, while its dominance in options trading has reached nearly a quarter of the U.S. retail market. Crypto has been another driver: following the collapse of FTX and the retreat of Binance.US, Robinhood’s slice of U.S. retail crypto volumes has swelled to about 30%.
That expansion has not been matched by legacy competitors. Concerns that incumbents such as Charles Schwab would erode Robinhood’s advantage in crypto have not materialized. Both Coinbase and Robinhood have kept trading fees firm, and Robinhood has even quietly nudged them higher.
The company’s ambitions go beyond trading desks. Its “Gold” program — essentially a paid membership for enhanced financial services — has already signed up 3.5 million users. Members pay $5 a month for perks ranging from higher-yield savings to mortgage offers, plus access to a Gold-branded credit card that has already issued 300,000 accounts.
Bernstein sees the greatest long-term opportunity in wealth management and in blockchain tokenization, where Robinhood could help create secondary markets for private equity and other assets that remain illiquid today.
With revenues projected to more than double from $2.9 billion in 2024 to $6.8 billion in 2026, Bernstein values the stock at $160, roughly 36% above its Monday close of $117. Shares rallied nearly 16% that day.
Even so, analysts cautioned that payment-for-order-flow rules and crypto oversight remain live regulatory threats. For now, though, they view Robinhood’s mix of growth momentum and product expansion as placing it firmly in the camp of the next generation of financial giants.
The information provided in this article is for informational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
The post Robinhood Targets Wealth Management and Tokenization After S&P Entry appeared first on Coindoo.
Also read: Bitcoin Dominance Dips to 57% as Altcoin Season Kicks Off: Pepeto Could Be the Next Alt Star
