Morgan Stanley upgrades Robinhood rating to overweight, with target price raised to $150

On September 1st, Morgan Stanley raised Robinhood's rating from hold to increase, and raised its target price from $124 to $150. Morgan Stanley pointed out that Robinhood's approximately 28 million users form the growth foundation, and predicts that new businesses such as the market will increase the asset size, trading activity, and liquidity of individual users. Among them, it is predicted that the market users will be less than 2 million, but it will contribute $156 million in revenue in the second quarter. Analysts believe that Robinhood's derivative trading platform and clearing institution Rothera will expand its distribution advantages and bring opportunities for infrastructure and third-party revenue.