Robinhood stock surges on leading analyst's bullish call

Core Insights - Robinhood Markets' shares surged over 8% to an intraday high of $124.30 following a bullish call from Bernstein analysts [1][7] - The company is focusing on expanding its prediction market business through a joint venture with Susquehanna, which could significantly impact the competitive landscape [3][4] Company Overview - Founded in 2013 by Vlad Tenev and Baiju Bhatt, Robinhood is an American trading exchange that provides access to stocks, funds, and cryptocurrencies [1] - The company went public on Nasdaq in 2021 and joined the S&P 500 index in 2025 [2] Prediction Market Business - Bernstein analysts highlighted that Robinhood's prediction markets have become its fastest-growing segment, with over 9 billion contracts traded by more than 1 million users since launch [5] - In Q3, Robinhood processed 2.3 billion contracts, with October volume reaching $2.5 billion, accounting for 57% of Kalshi's activity for that month [5] Strategic Moves - Robinhood is leveraging its existing partnership with Kalshi, which drives over half of Kalshi's trading volume, to enhance its revenue by integrating its own liquidity and exchange infrastructure [4][6] - The company announced plans to control a joint venture and acquire MIAXdx, a CFTC-licensed Derivatives Clearing Organization, from Miami International Holdings [7]