Robinhood's Massive Surge

Early Bird Prime for January 19, 2025

Robinhood Markets (Nasdaq: HOOD) was one of the biggest stock market winners of 2024. The stock is up 351.27% in the last 12 months and 29% in the previous 30 days.

As it approaches its all-time high, investors are left scratching their heads, wondering if this is the time to jump on the bandwagon or if they should just sit back and avoid this one.

Morgan Stanley’s Michael Cyprys seems to think Robinhood is the bee’s knees, naming it his top pick and raising his price target from $55 to $64 this week. He’s cheering on Robinhood’s untapped growth potential, especially in the wild world of cryptocurrency. Meanwhile, Bernstein has dubbed Robinhood the best digital assets idea for 2025.

But before you invest in Robinhood, let’s not forget that challenges exist. The stock could very well take a nosedive after its meteoric rise. 

Adding to the drama, Robinhood recently faced SEC fines for failing to address known cybersecurity risks. They left the back door open, and unauthorized access to millions of customers' information was the result.

And then there’s the crypto business. Sure, there’s potential for growth, but there’s also potential for volatility.

Should you buy Robinhood’s stock and hope for the best, or should you avoid it? Here’s the answer:

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