TLDR
- Robinhood’s board approved a $1.5B share repurchase program, adding $1.1B in new capacity to an existing buyback plan
- The program will run over three years starting Q1 2026
- HOOD stock fell 4.7% on Tuesday to $69.08, its lowest close of 2026
- Robinhood Securities expanded its revolving credit facility with JPMorgan to $3.25B, up from $2.65B
- HOOD is down nearly 39% year-to-date and 54.7% from its October all-time high of $152.46
Robinhood (HOOD) has approved a $1.5 billion share buyback program as its stock continues to slide, hitting its lowest price of the year on the same day the news broke.
The board approved the repurchase plan on Tuesday, March 24, according to an 8-K filing with the U.S. Securities and Exchange Commission. The program adds more than $1.1 billion in new buyback capacity on top of what was already in place from an older plan.
The company expects to carry out the buybacks over roughly three years beginning in Q1 2026. It is not required to purchase a fixed amount.
Robinhood CFO Shiv Verma called the company “a generational company with a massive long-term opportunity” and said the authorization reflects the board’s confidence in its ability to “continue delivering innovative products for customers and creating value for shareholders.”
HOOD closed Tuesday at $69.08, down 4.7% on the day. That’s the stock’s lowest close so far in 2026. It edged back up to $70.90 in after-hours trading.
A Long Way from the October High
The stock is down nearly 39% year-to-date and has lost 54.7% since hitting an all-time high of $152.46 in October. Broader macroeconomic pressure and geopolitical concerns have weighed on both tech and crypto-linked names.
Despite the rough stretch in 2026, HOOD is still up around 43% over the past 12 months, helped by the company’s expansion into prediction markets, banking, and crypto trading.
Analyst sentiment platform TipRanks currently puts the 12-month average price target for HOOD at $123.85. Based on 16 Wall Street analysts, the consensus rating is “strong buy.”
The buyback move is typically read as a signal that management believes its stock is undervalued — though the market didn’t exactly celebrate the news on Tuesday.
Credit Facility Gets an Upgrade Too
Alongside the repurchase announcement, Robinhood Securities — the company’s brokerage subsidiary — entered into an updated revolving credit agreement led by JPMorgan Chase.
The facility was expanded to $3.25 billion from the previous $2.65 billion. There is also an option to increase total commitments up to $4.875 billion, giving the company extra liquidity headroom.
Robinhood also continues to push forward with its crypto and tokenization ambitions. The company launched its Ethereum layer-2 network, Robinhood Chain, to public testnet in February.
CEO Vlad Tenev said the network processed 4 million transactions in its first week on testnet. Robinhood Chain is built to support tokenized equities, ETFs, and other traditional financial instruments.
The mainnet launch is planned for later in 2026.
HOOD ended Tuesday’s session at $69.08, with after-hours trading nudging the price back up slightly to $70.90.
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