Mizuho on Monday reiterated an Outperform rating on Robinhood Markets (NASDAQ: HOOD) and kept a $172.00 price target for the brokerage, underscoring the firm’s view that the company’s recent product moves in the U.K. could serve as a material growth driver.
The stock was trading at $89.58, down from a prior close of $101.24. Analyst price objectives for the company span from $90 to $180, reflecting a broad range of expectations among coverage. Separate InvestingPro data indicates that, despite a 91.49% return over the past year, HOOD appears overvalued at current market levels.
Mizuho singled out Robinhood UK’s announcement of a stocks and shares ISA - a tax-advantaged account that the company will offer with zero platform fees, no commissions, and a 2% cash bonus on new eligible contributions made before April 5, 2026 - as a "major positive catalyst" for the company’s push abroad. The analyst house noted the product’s widespread popularity in the U.K. and emphasized the opportunity within Robinhood’s core demographic, ages 18-34, where ISA participation reportedly trails the national average.
The firm also highlighted the scale of the U.K. ISA market. According to Mizuho’s note, there are more than 22 million adult ISA holders in the U.K., representing over 40% of the adult population. ISAs are framed as a central element of personal finance in the U.K. because they provide tax-free growth on interest, dividends, and capital gains, and they carry an annual allowance of 30,000 for 2025/26.
Mizuho discussed the total addressable market in cash and stock terms, suggesting that adult ISA holdings likely exceed $1 trillion, compared with roughly $333 billion in assets under custody for Robinhood as of the third quarter of 2025. The gap underscores why the bank sees a meaningful opportunity for Robinhood to expand its custody and deposit base internationally through targeted offers like the ISA product.
Investors will have another opportunity to assess the strategy when Robinhood reports earnings on February 10, when market participants will be attentive to management commentary on international rollouts and customer adoption metrics tied to the ISA.
Other brokerages have stayed constructive on the shares. Piper Sandler reiterated an Overweight rating and maintained a $155.00 price target, while Cantor Fitzgerald began coverage with an Overweight rating and a $130.00 target. Those actions come amid the company’s recent volatility in share price.
Several operational and strategic developments have drawn attention beyond the ISA launch. Reports indicate that the U.S. Treasury Department is considering Robinhood as a potential trustee to manage new so-called "Trump accounts" for children. The company has also been reported to be competing for a notable role in SpaceXs forthcoming initial public offering, aiming to provide retail access through its IPO Access platform. Separately, the ISA rollout reiterates the companys broader push to expand product offerings and strategic partnerships.
Taken together, the analyst commentary and recent news flow paint a picture of an active growth agenda that market participants will be monitoring closely around upcoming financial results and product uptake metrics.