Robinhood’s board has approved a $1.5 billion share repurchase program to be carried out over the next three years. Of that total, $1.1 billion comes from new authorization, with the rest tied to previously approved capacity. Management framed the move as a sign of confidence, though the stock has yet to show much relief.
CFO Shiv Verma said Robinhood is a “generational company” with a large long-term opportunity, adding that the authorization reflects confidence in continuing to launch products and return value to shareholders. The message was clear. The market response was not.
JPMorgan credit line rises to $3.25 billion
Robinhood also disclosed a new financing arrangement alongside the buyback plan. Robinhood Securities entered into a $3.25 billion revolving credit facility with JPMorgan Chase, replacing an earlier $2.65 billion agreement. The new facility includes an expansion option of up to $1.62 billion, which would bring the total borrowing capacity to $4.87 billion if fully exercised.
The structure gives Robinhood a larger liquidity backstop at the same time it expands shareholder returns. For a brokerage operating through volatile market conditions, that flexibility matters.
Stock still down 39% this year and 54.7% from peak
As of the March 25 close, HOOD finished at $41.08, down 4.7% on the day. Compared with its 52-week high of $90.46 set last October, the stock had fallen 54.7%. On a year-to-date basis, shares were down about 39%.
In after-hours trading, the stock edged up to $41.90, a modest rebound that some traders viewed as an early reaction to the repurchase announcement. TipRanks, aggregating views from 16 Wall Street analysts, listed an average 12-month price target of $73.85 and a “Strong Buy” rating. That target implied nearly 80% upside from the prevailing price.
Layer-2 mainnet is still ahead
Robinhood has not slowed its crypto push. In February, the company launched an Ethereum Layer-2 testnet that processed more than 4 million transactions in its first week, giving an early signal that the technical design could hold up under initial usage.
Robinhood Chain mainnet is expected to go live sometime in 2026. The stated focus is on bringing tokenized stocks, ETFs, and traditional financial instruments on-chain. That places the company squarely in the RWA trade. The buyback speaks to management confidence, but the next question for the market is whether the L2 rollout can add a new anchor to HOOD’s valuation story.