Zacks Investment Ideas feature highlights: Robinhood Markets and Coinbase Global

For Immediate ReleaseChicago, IL – February 28, 2025– Today, Zacks Investment Ideas feature highlights Robinhood Markets HOOD and Coinbase Global COIN.Will Robinhood (HOOD) or Coinbase (COIN) Bounce Back?Prior to the broader market selloff over the last week, Robinhood Markets andCoinbase Global were two popular growth stocks that had started to soar this year. Both launched highly anticipated IPO's in 2021, as security exchange operators that were ahead of the curve in regards to cryptocurrency trading.Starting to fulfil their expansion expectations, Robinhood's stock had hit a 52-week high of $66 a share earlier in the month but is down more than 20% from this peak. Meanwhile, Coinbase shares had climbed to over $300 a few weeks ago but have fallen 30% from what was nearly a two-month high.That said, in the last two years, HOOD and COIN have impressively outperformed the broader indexes with gains of over +400% and +200%, respectively.Positive EPS RevisionsAlthough Robinhood and Coinbase stock have been very susceptible to recent market volatility, the main catalyst to their strong price performances beforehand is still apparent. This is the trend of positive earnings estimate revisions, which suggests their stocks could bounce back when markets stabilize.Fiscal 2025 and FY26 EPS estimates for Robinhood have continued to trend higher over the last quarter. Plus, FY25 EPS estimates have spiked 28% in the last 30 days from $1.18 to $1.51. More intriguing, over the last month, FY26 EPS estimates have jumped 15% from $1.47 to $1.70.As for Coinbase, it's noteworthy that FY25 EPS estimates have soared 110% in the last 30 days from $3.48 to $7.32. This comes as Coinbase crushed its Q4 EPS expectations for FY24 by 74.74% earlier in the month. Bolstering Coinbase's strengthening outlook is that FY26 EPS estimates have skyrocketed nearly 200% over the last four weeks, from $2.97 to $8.72.Reasonable P/E ValuationsMaking the trend of positive EPS revisions more reassuring is that HOOD and COIN are starting to trade at reasonable P/E valuations. Reassuringly, COIN now trades at a 29.4X forward earnings multiple compared to a one-year high of 255.3X and a median of 54.2X.Furthermore, HOOD trades at 32.4X forward earnings which is well below its own one-year high of 89.3X and a slight discount to the median of 41.8X.Conclusion & Final ThoughtsTaking advantage of their sales growth, the increased probability of Robinhood and Coinbase is hard to ignore, even amid recent market volatility. Both have triggered a Zacks Rank #1 (Strong Buy) rating thanks to the trend of positive earnings estimate revisions.Furthermore, COIN and HOOD are starting to look like buy the dip targets given their more reasonable valuations. This also alludes to the notion that the recent pullback in these popular stocks was a healthy correction.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Coinbase Global, Inc. (COIN): Free Stock Analysis Report Robinhood Markets, Inc. (HOOD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks