Head to Head Analysis: Robinhood Markets (NASDAQ:HOOD) and TOP Financial Group (NASDAQ:TOP)

TOP Financial Group (NASDAQ:TOP) and Robinhood Markets (NASDAQ:HOOD) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, valuation, earnings and dividends.

Insider & Institutional Ownership

0.3% of TOP Financial Group shares are held by institutional investors. Comparatively, 93.3% of Robinhood Markets shares are held by institutional investors. 85.6% of TOP Financial Group shares are held by company insiders. Comparatively, 14.5% of Robinhood Markets shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility & Risk

TOP Financial Group has a beta of -1.45, meaning that its stock price is 245% less volatile than the S&P 500. Comparatively, Robinhood Markets has a beta of 2.42, meaning that its stock price is 142% more volatile than the S&P 500.

Earnings and Valuation

This table compares TOP Financial Group and Robinhood Markets”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TOP Financial Group	$3.33 million	11.57	-$5.97 million	N/A	N/A
Robinhood Markets	$4.20 billion	25.27	$1.41 billion	$2.41	49.03

Robinhood Markets has higher revenue and earnings than TOP Financial Group.

Profitability

This table compares TOP Financial Group and Robinhood Markets’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TOP Financial Group	N/A	N/A	N/A
Robinhood Markets	52.19%	21.74%	5.43%

Analyst Recommendations

This is a summary of current ratings and price targets for TOP Financial Group and Robinhood Markets, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TOP Financial Group	1	0	0	0	1.00
Robinhood Markets	1	8	14	0	2.57

Robinhood Markets has a consensus price target of $136.95, indicating a potential upside of 15.90%. Given Robinhood Markets’ stronger consensus rating and higher possible upside, analysts clearly believe Robinhood Markets is more favorable than TOP Financial Group.

Summary

Robinhood Markets beats TOP Financial Group on 11 of the 12 factors compared between the two stocks.

About TOP Financial Group

TOP Financial Group Limited, through its subsidiaries, operates as an online brokerage company in Hong Kong. It is involved in the trading of local and overseas equities, futures, and options products; and the provision of brokerage and value-added services, including trade order placement and execution, account management, and customer support services. The company provides a range of futures products, such as index futures, forex futures, agricultural product futures, energy futures, and precious metal futures. It also offers stock brokerage, options brokerage, consulting services, currency exchange services, structured note subscriber services, and margin financing services. The company was formerly known as Zhong Yang Financial Group Limited and changed its name to TOP Financial Group Limited in July 2022. TOP Financial Group Limited was founded in 2015 and is based in Hong Kong, Hong Kong. TOP Financial Group Limited is a subsidiary of Zhong Yang Holdings (BVI) Limited.

About Robinhood Markets

Robinhood Markets, Inc. operates financial services platform in the United States. Its platform allows users to invest in stocks, exchange-traded funds (ETFs), American depository receipts, options, gold, and cryptocurrencies. The company offers fractional trading, recurring investments, fully-paid securities lending, access to investing on margin, cash sweep, instant withdrawals, retirement program, around-the-clock trading, and initial public offerings participation services. It also provides various learning and education solutions comprise Snacks, an accessible digest of business news stories for a new generation of investors.; Learn, which is an online collection of beginners' guides, feature tutorials, and financial dictionary; Newsfeeds that offer access to free, premium news from sites from various sites, such as Barron's, Reuters, and Dow Jones. In addition, the company offers In-App Education, a resource that covers investing fundamentals, including why people invest, a stock market overview, and tips on how to define investing goals, as well as allows customers to understand the basics of investing before their first trade; and Crypto Learn and Earn, an educational module available to various crypto customers through Robinhood Learn to teach customers the basics related to cryptocurrency. Further, it provides Robinhood credit cards, cash card and spending accounts, and wallets. Robinhood Markets, Inc. was incorporated in 2013 and is headquartered in Menlo Park, California.