Explain this page
Arphra AIPlain-English read on Robinhood Markets, Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +71.96% | +56.70% | +92.17% | +79.43% | +83.34% | +87.52% | +85.66% | +85.38% | +85.64% |
| Operating margin | -90.41% | -71.13% | -28.74% | +35.72% | +46.81% | +18.02% | +17.49% | +17.52% | +18.27% |
| EBITDA margin | -88.98% | -66.64% | -24.93% | +38.33% | +48.74% | +20.37% | +20.43% | +20.16% | +21.05% |
| EBIT margin | -90.41% | -71.13% | -28.74% | +35.72% | +46.81% | +18.19% | +18.18% | +18.42% | +18.00% |
| Pre-tax margin | -203.03% | -75.63% | -28.58% | +36.06% | +47.13% | +18.36% | +18.17% | +17.78% | +18.41% |
| Net margin | -203.14% | -75.70% | -29.01% | +47.81% | +42.10% | +17.42% | +17.57% | +18.04% | +18.16% |
| Cost structure | |||||||||
| Cost of revenue / sales | +28.04% | +43.30% | +7.83% | +20.57% | +16.66% | +14.77% | +15.27% | +14.93% | +14.60% |
| R&D intensity | +67.99% | +64.65% | +43.16% | +27.72% | +20.05% | +29.99% | +30.11% | +29.63% | +29.95% |
| SG&A intensity | +82.09% | +53.39% | +69.22% | +12.30% | +12.88% | +31.38% | +32.29% | +32.13% | +31.64% |
| Effective tax rate | — | — | — | -32.61% | +10.67% | +10.35% | +10.49% | +10.75% | +10.33% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | -50.56% | -14.78% | -8.08% | +17.70% | +20.58% | +6.41% | +6.29% | +6.73% | +6.48% |
| Return on assets (ROA) | -18.65% | -4.41% | -3.07% | +5.39% | +4.94% | +1.93% | +2.01% | +1.97% | +2.09% |
| Return on capital (ROC) | -14.99% | -10.99% | -5.23% | +6.83% | +8.53% | +3.40% | +3.21% | +3.35% | +3.34% |
| Return on invested capital (ROIC) | -11.25% | -8.24% | -3.92% | +9.14% | +7.67% | +3.28% | +3.22% | +3.45% | +3.32% |
| Asset turnover | +9.18% | +5.82% | +10.58% | +11.27% | +11.73% | +11.08% | +11.44% | +10.90% | +11.51% |
| DuPont · ROE decomposition | |||||||||
| Net margin | -203.14% | -75.70% | -29.01% | +47.81% | +42.10% | +17.42% | +17.57% | +18.04% | +18.16% |
| Asset turnover (× revenue / assets) | +9.18% | +5.82% | +10.58% | +11.27% | +11.73% | +11.08% | +11.44% | +10.90% | +11.51% |
| Equity multiplier (× assets / equity) | +271.07% | +335.49% | +263.20% | +328.49% | +416.75% | +332.31% | +312.92% | +342.03% | +309.94% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.09 | 0.06 | 0.11 | 0.11 | 0.12 | 0.11 | 0.11 | 0.11 | 0.12 |
| Fixed-asset turnover | 12.43 | 9.30 | 15.54 | 21.23 | 29.05 | — | — | — | — |
| Inventory turnover | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 0.27 | 0.41 | 0.52 | 0.34 | 0.21 | — | — | — | — |
| Payables turnover | 2.02 | 3.18 | 0.38 | 1.53 | 1.61 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 1352.81 | 885.35 | 701.43 | 1077.31 | 1699.58 | — | — | — | — |
| Days inventory outstanding (DIO) | — | — | — | — | — | — | — | — | — |
| Days payables outstanding (DPO) | 180.71 | 114.84 | 960.00 | 238.72 | 226.84 | — | — | — | — |
| Cash conversion cycle | 1172.11 | 770.52 | -258.57 | 838.59 | 1472.74 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 0.24 | 0.83 | -2.18 | -0.11 | 0.87 | 1.81 | 1.81 | 1.75 | 1.74 |
| FCF / Net income | 0.26 | 0.88 | -2.14 | -0.12 | 0.86 | 1.80 | 1.79 | 1.74 | 1.68 |
| FCF margin | -53.36% | -66.94% | +62.20% | -5.76% | +36.28% | +31.31% | +31.42% | +31.44% | +30.45% |
| OCF margin | -48.75% | -62.74% | +63.32% | -5.32% | +36.62% | +31.45% | +31.78% | +31.52% | +31.55% |
| CapEx / Revenue | +4.61% | +4.20% | +1.13% | +0.44% | +0.34% | +0.63% | +0.64% | +0.65% | +0.64% |
| CapEx / D&A | 3.28 | 0.93 | 0.30 | 0.17 | 0.17 | — | — | — | — |
| Stock-based comp / Revenue | +86.61% | +48.16% | +46.70% | +10.30% | +6.82% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | -4.27 | -1.17 | -0.61 | 1.56 | 2.05 | 1.85 | 2.54 | 3.03 | 3.42 |
| EPS · basic | -4.27 | -1.17 | -0.61 | 1.60 | 2.12 | 1.88 | 2.61 | 3.12 | 3.48 |
| Book value / share | 8.44 | 7.92 | 7.52 | 8.80 | 9.96 | 14.70 | 18.54 | 20.81 | 24.01 |
| Tangible BV / share | 8.29 | 7.77 | 7.27 | 8.56 | 9.36 | 14.70 | 18.54 | 20.81 | 24.01 |
| Sales / share | 2.10 | 1.55 | 2.09 | 3.26 | 4.87 | 5.42 | 6.64 | 7.76 | 8.57 |
| Operating CF / share | -1.02 | -0.97 | 1.33 | -0.17 | 1.78 | 1.70 | 2.11 | 2.45 | 2.70 |
| Free cash flow / share | -1.12 | -1.03 | 1.30 | -0.19 | 1.77 | 1.70 | 2.09 | 2.44 | 2.61 |
| Dividends / share | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Payout ratio | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| Retention ratio | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% | +100.00% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | -25.18% | +37.33% | +58.23% | +51.58% | +11.53% | +23.10% | +15.49% | +10.76% | +20.10% |
| Gross profit · YoY | — | -41.04% | +123.25% | +36.36% | +59.04% | +17.12% | +20.48% | +15.11% | +11.10% | +22.74% |
| Profit | ||||||||||
| Operating income · YoY | — | +41.13% | +44.51% | +296.64% | +98.67% | -57.06% | +19.45% | +15.69% | +15.51% | — |
| EBITDA · YoY | — | +43.96% | +48.62% | +343.23% | +92.75% | -53.37% | +23.41% | +13.99% | +15.64% | — |
| Net income · YoY | — | +72.12% | +47.37% | +360.81% | +33.45% | -53.86% | +24.22% | +18.55% | +11.48% | — |
| Operating | ||||||||||
| EBIT · YoY | — | +41.13% | +44.51% | +296.64% | +98.67% | -56.66% | +23.05% | +16.98% | +8.21% | — |
| R&D · YoY | — | -28.85% | -8.31% | +1.61% | +9.66% | +66.80% | +23.59% | +13.64% | +11.97% | +8.40% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +72.58% | +48.09% | +356.87% | +31.41% | -9.93% | +37.54% | +19.42% | +12.91% | — |
| EPS · basic · YoY | — | +72.58% | +48.09% | +363.46% | +32.50% | -11.27% | +38.80% | +19.35% | +11.83% | — |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $3.65B | $1.83B | $3.55B | $7.46B | $15.41B | $12.91B | $16.32B | $18.07B | $20.93B |
| Net debt | -$2.6B | -$4.51B | -$1.29B | $3.13B | $11.15B | $4.66B | $5.79B | $6.42B | $7.97B |
| Net debt / EBITDA | 1.61 | 4.98 | 2.77 | 2.77 | 5.11 | 4.58 | 4.62 | 4.49 | 4.82 |
| Debt / equity | 0.50 | 0.26 | 0.53 | 0.94 | 1.68 | 0.95 | 0.95 | 0.95 | 0.95 |
| Debt / assets | +18.47% | +7.86% | +20.13% | +28.50% | +40.40% | +28.69% | +30.42% | +27.78% | +30.67% |
| Equity / assets | +36.89% | +29.81% | +37.99% | +30.44% | +24.00% | +30.09% | +31.96% | +29.24% | +32.26% |
| Coverage | |||||||||
| EBITDA / interest expense | -79.88 | -37.71 | -20.22 | 47.13 | — | 29.12 | 30.45 | 29.03 | 31.08 |
| Operating income / interest | -81.17 | -40.25 | -23.30 | 43.92 | — | 25.76 | 26.08 | 25.23 | 26.98 |
| Interest expense | $20.22M | $24M | $23M | $24M | $0 | $34.91M | $41.19M | $49.25M | $53.21M |
| Liquidity | |||||||||
| Current ratio | 1.56 | 1.41 | 1.58 | 1.39 | 1.00 | — | — | — | — |
| Quick ratio | 1.20 | 0.69 | 1.11 | 1.06 | 1.00 | — | — | — | — |
| Cash ratio | 0.51 | 0.39 | 0.45 | 0.24 | 0.15 | — | — | — | — |
| Working capital | $6.94B | $6.66B | $6.25B | $7B | $100M | — | — | — | — |
| Working capital / revenue | +382.15% | +490.72% | +334.85% | +237.17% | +2.24% | — | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).