Thomas Fuller / SOPA Images / LightRocket via Getty Images Robinhood agreed to pay roughly C$250 million ($179 million) for Canadian crypto exchange operator WonderFi.

Key Takeaways

Robinhood Markets stock popped Tuesday, and its shares are up more than two-thirds in 2025. Bank of America raised its price target for the DIY brokerage's stock to $65 from $60. Robinhood also agreed to acquire Canadian crypto platform WonderFi for about C$250 million ($179 million).

Shares of Robinhood Markets (HOOD) surged Tuesday after Bank of America raised its price target for the do-it-yourself online brokerage's stock.

The bank upped its target to $65 from $60, implying a 13% upside from Monday's closing level of $57.43. Robinhood stock jumped almost 10% to around $63 in recent trading and is up nearly 70% in 2025.

BofA pointed to Robinhood's ability to generate strong organic growth "without significant expense inflation." The brokerage "is working on multiple sizable initiatives in parallel and only a few will need to be successful," the analysts said. Those projects include upgrades to desktop trading platform Robinhood Legend, which launched in the fourth quarter of 2024, and an AI-powered customer service assistant called Cortex that is expected in the fourth quarter of 2025, BofA wrote.

Robinhood Buys Canadian Crypto Exchange

Also Tuesday, Robinhood agreed to acquire WonderFi, a Canadian cryptocurrency exchange operator, for roughly C$250 million ($179 million) in an all-cash deal. WonderFi operates the crypto exchanges Bitbuy and Coinsquare, and is backed by "Shark Tank" co-host Kevin O'Leary. Robinhood reported cryptocurrency transaction revenue of $252 million in the first quarter.

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