Robinhood Markets, Inc. (NASDAQ: HOOD) wrapped up a volatile week after fresh November operating data showed a sharp cooldown in equities, options, and crypto volumes. Here’s what moved the stock this week—and what to watch next week.
Updated: December 12, 2025 (U.S. market close)
Robinhood Markets, Inc. (NASDAQ: HOOD) ended the week on a softer note after a headline-heavy stretch that combined international expansion news, a closely watched monthly metrics release, multiple analyst target changes, and renewed debate over prediction-market regulation.
At Friday’s close (Dec. 12, 2025), HOOD finished at $119.50. [1]
What moved Robinhood stock this week
Several catalysts arrived in quick succession, and the stock reacted in waves:
- International growth headline (Dec. 8): Reuters reported Robinhood plans to enter Indonesia via acquisitions of a local brokerage and a licensed digital asset trader, with closing expected in the first half of 2026 (pending approvals). [2]
- Monthly operating data (Dec. 10): Robinhood’s November metrics showed strong deposit growth but a big month-over-month drop in equities and options volumes following an unusually strong October. [3]
- Analyst target updates (Dec. 10–12): BofA and Cantor lowered targets, while Barclays raised its target—keeping the market’s focus on whether this week’s pullback is “reset” or “trend change.” [4]
- Regulatory scrutiny for “sports event contracts”: Connecticut’s consumer protection agency issued cease-and-desist orders earlier in December, explicitly including Robinhood Derivatives, LLC, adding policy risk to a fast-growing product category. [5]
The numbers that mattered: Robinhood’s November 2025 operating data
Robinhood’s monthly operating update is a key read-through for sentiment because it provides near real-time visibility into customer counts, assets, and trading activity.
Customer & asset trends
- Funded customers:26.9 million, down ~130,000 from October but up ~2.10 million year-over-year. Robinhood said the monthly dip included required escheatment of ~280,000 low-balance accounts; without that, funded customers would have grown by ~150,000 in November. [6]
- Total platform assets:$325 billion, down 5% month-over-month but up 67% year-over-year. [7]
- Net deposits:$7.1 billion in November; last-12-month net deposits totaled $70.2 billion (Robinhood frames that as a 36% annual growth rate relative to November 2024 platform assets). [8]
Trading activity: the sharp cooldown vs. October
The month-over-month declines were stark, and Robinhood also had fewer trading days (19 vs. 23 in October), which matters mechanically for volumes. [9]
- Equity notional trading volume:$201.5B (down 37% M/M, up 37% Y/Y) [10]
- Options contracts traded:193.2M (down 28% M/M, up 24% Y/Y) [11]
- Crypto notional trading volume:$28.6B (down 12% M/M, down 19% Y/Y)
- Robinhood App: $12.0B (down 14% M/M, down 66% Y/Y)
- Bitstamp: $16.6B (down 11% M/M) [12]
- Event contracts traded:3.0B (up 20% M/M; table also shows 0.5B a year ago) [13]
Leverage and “carry” signals
- Margin balances:$16.8B (up 2% M/M, up 147% Y/Y) [14]
- Total cash sweep balances:$32.5B (down 5% M/M, up 23% Y/Y) and Robinhood noted a ~$700M shift tied to winding down its non-Gold cash sweep program in November. [15]
- Securities lending revenue:$34M (down 43% M/M, up 48% Y/Y) [16]
Market takeaway: The report didn’t read like “demand collapse”—it read like October pulled forward activity, November had fewer trading days, and traders recalibrated after a red-hot period. At the same time, net deposits and margin balances stayed strong, which is part of why some analysts continue to lean bullish despite the volatility. [17]
Why HOOD sold off after the update
On Dec. 11, Stocktwits reported HOOD dropped over 8% as investors digested the operating metrics and a Cantor price-target cut, despite the firm reiterating an Overweight stance. [18]
Two themes stood out in commentary around the selloff:
- Monthly volumes normalized after an unusually strong October. Cantor’s note (via TheFly/TipRanks) explicitly framed November as a month-over-month decline after a standout October across equities, options, and crypto. [19]
- Prediction markets are growing, but legal risk is real. Event contracts were the one category that grew month-over-month in November, yet state-level scrutiny of “sports event contracts” creates headline risk that can compress multiples in a momentum-driven stock. [20]
Analyst forecasts: targets were cut—and raised—in the same week
Robinhood’s analyst landscape tightened this week into a clear message: still constructive ratings, more selective target-setting.
The three headline target changes (Dec. 10–12)
- BofA: price target $154 (from $166), Buy maintained. [21]
- Cantor Fitzgerald: price target $152 (from $155), Overweight maintained. [22]
- Barclays: price target $171 (from $168), Overweight maintained. [23]
What the “consensus” looks like
MarketBeat’s aggregated view shows a “Moderate Buy” consensus, with an average 12‑month price target around $136 (methodologies vary by platform). [24]
Forward-looking financial expectations
One compilation of analyst estimates projects continued growth in revenue and earnings over the next year, though the exact path will likely remain tied to trading intensity (equities/options/crypto) and regulatory outcomes for newer products. [25]
The growth narrative: Robinhood’s Indonesia expansion
Reuters reported Robinhood’s planned entry into Indonesia through acquisitions of PT Buana Capital Sekuritas and PT Pedagang Aset Kripto, highlighting Indonesia’s scale—over 19 million capital market investors and 17 million crypto traders, per the report. [26]
Strategically, this matters because Robinhood’s bull case increasingly rests on:
- expanding beyond a U.S.-centric story,
- scaling product breadth (brokerage + crypto + derivatives-like products),
- and building durable funding/deposit flows even when trading volumes cool.
Still, the market typically discounts cross-border deals until approvals and integration plans become clearer—especially when near-term headlines are dominated by monthly volume swings.
The risk narrative: sports event contracts and state-level enforcement
Connecticut’s Department of Consumer Protection said on Dec. 3, 2025 it issued cease-and-desist orders to Robinhood Derivatives, LLC, Kalshi, and Crypto.com over alleged unlicensed online gambling tied to “sports event contracts,” ordering them to stop offering/promoting such contracts to Connecticut residents and to allow residents to withdraw funds. [27]
The attached Connecticut order directed to Robinhood Derivatives lays out the state’s view that these contracts constitute sports wagering under state law and alleges violations of state statutes, while demanding Robinhood “immediately cease and desist” offering the contracts in Connecticut. [28]
For investors, the tension is straightforward:
- Product momentum: Event contracts grew to 3.0B contracts traded in November (up 20% M/M). [29]
- Regulatory uncertainty: State actions can create sudden constraints, legal expense, and reputational risk—especially if more jurisdictions follow. [30]
Week ahead: what to watch for HOOD (Dec. 15–19, 2025)
Robinhood is highly sensitive to risk appetite and trading volatility, so next week’s macro calendar—and crypto price swings—matter more than usual.
1) A data-heavy U.S. week after the Fed rate cut
Reuters reported the Fed cut rates by 25 bps this week to a 3.50%–3.75% range, with dissent highlighting uncertainty as major government data releases resume after earlier shutdown-related delays. [31]
Scotiabank’s calendar flags several high-impact releases in the coming week, including:
- Mon, Dec 15: Empire State Manufacturing Index (Dec)
- Tue, Dec 16: Employment report (Oct & Nov) and retail sales (Oct)
- Thu, Dec 18: CPI (Nov)
- Fri, Dec 19: Existing home sales (Nov) and University of Michigan sentiment (Dec final) [32]
Why HOOD investors should care: If inflation/jobs prints shift expectations for 2026 rate cuts (or pauses), high-beta “trading activity” names can reprice quickly—especially after a momentum-driven year.
2) Watch for follow-through in trading activity (and crypto tone)
November’s data showed crypto notional volume down month-over-month and year-over-year, while margin balances stayed elevated. If markets turn choppy again, investors will debate whether:
- lower volumes were seasonal/short-lived, or
- a sign that October was a peak and activity is normalizing into year-end. [33]
3) Any additional headlines on event contracts / prediction markets
Given Connecticut’s action and the broader legal noise around sports-event prediction products, any incremental state or federal commentary could move sentiment quickly—particularly because event contracts are one of Robinhood’s fastest-growing reported activity lines. [34]
Bottom line for Robinhood stock going into next week
Robinhood’s long-term narrative (new markets like Indonesia, expanding product set, rising platform assets and deposits) remains intact—but near-term sentiment is being set by:
- how quickly trading volumes stabilize after November’s step-down, and
- whether prediction-market products face tightening constraints at the state level.
That combination makes HOOD a classic “headline + volatility” stock right now—capable of sharp rebounds, but also prone to abrupt drawdowns when a single data point disappoints.
References
1. www.benzinga.com, 2. www.reuters.com, 3. www.globenewswire.com, 4. www.tipranks.com, 5. portal.ct.gov, 6. www.globenewswire.com, 7. www.globenewswire.com, 8. www.globenewswire.com, 9. www.globenewswire.com, 10. www.globenewswire.com, 11. www.globenewswire.com, 12. www.globenewswire.com, 13. www.globenewswire.com, 14. www.globenewswire.com, 15. www.globenewswire.com, 16. www.globenewswire.com, 17. www.globenewswire.com, 18. stocktwits.com, 19. www.tipranks.com, 20. www.globenewswire.com, 21. www.tipranks.com, 22. www.tipranks.com, 23. www.tipranks.com, 24. www.marketbeat.com, 25. stockanalysis.com, 26. www.reuters.com, 27. portal.ct.gov, 28. portal.ct.gov, 29. www.globenewswire.com, 30. portal.ct.gov, 31. www.reuters.com, 32. www.scotiabank.com, 33. www.globenewswire.com, 34. www.globenewswire.com
