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Robinhood MarketsXSWX:HOOD 53 Cash Ratio is 0.34 as of Mar. 2026, which is 19% below its 10-year median of 0.42. GuruFocus rates XSWX:HOOD with a GF Score™ of 53/100 and a GF Value™ of CHF49.42 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 682 Capital Markets companies, Robinhood Markets ranks worse than 73.61% on this metric.
Robinhood Markets has a Cash Ratio of 0.34. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Robinhood Markets's Cash Ratio or its related term are showing as below:
XSWX:HOOD'
s Cash Ratio Range Over the Past 10 Years
Min: 0.21 Med: 0.42 Max: 0.78
Current: 0.34
During the past 7 years, Robinhood Markets's highest Cash Ratio was 0.78. The lowest was 0.21. And the median was 0.42.
XSWX:HOOD's Cash Ratio is ranked worse than 73.61% of 682
companies
in the Capital Markets industry
Industry Median: 0.94
vs XSWX:HOOD: 0.34
Robinhood Markets (XSWX:HOOD) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Robinhood Markets Cash Ratio Related Terms
Robinhood Markets Cash Ratio Historical Data
* Premium members only.
The historical data trend for Robinhood Markets's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XSWX:HOOD vs IBKR, LPLA, SCHW: Cash Ratio Comparison
For the Capital Markets subindustry, Robinhood Markets's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Robinhood Markets Cash Ratio vs Capital Markets Industry
For the Capital Markets industry and Financial Services sector, Robinhood Markets's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Robinhood Markets's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Robinhood Markets (XSWX:HOOD) has a Cash Ratio of 0.34 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Robinhood Markets and its competitors. This is 19% below median its historical median of 0.42. Over the past decade, Robinhood Markets' Cash Ratio has ranged from 0.21 to 0.78. According to the industry distribution chart, Robinhood Markets ranks #502 out of 682 companies in the Capital Markets industry, placing it in the top 73.6%.
Is Robinhood Markets' Cash Ratio too high?
Robinhood Markets' current Cash Ratio of 0.34 is 19% below median its 10-year median of 0.42. Over the past 10 years, this metric has ranged from a low of 0.21 to a high of 0.78. The Capital Markets industry median Cash Ratio is 0.94. Robinhood Markets' value of 0.34 is 63.8% below this industry median. Based on the distribution chart, Robinhood Markets ranks #502 out of 682 companies in the Capital Markets industry, which is below the industry midpoint. Overall, Robinhood Markets has a GF Score™ of 53/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Robinhood Markets' Cash Ratio compare to IBKR and LPLA?
According to the Capital Markets industry distribution chart, Robinhood Markets ranks #502 out of 682 companies for Cash Ratio. This places Robinhood Markets in the lower half of its industry. The industry median Cash Ratio is 0.94. Robinhood Markets' value of 0.34 is 63.8% below this benchmark. Historically, Robinhood Markets' own Cash Ratio has ranged from 0.21 to 0.78 over the past decade. While the company's 10-year median is 0.42 vs. the industry median of 0.94, Robinhood Markets has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Capital Markets company?
The median Cash Ratio among Capital Markets companies is 0.94, based on 682 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Robinhood Markets's current Cash Ratio of 0.34 is 63.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Robinhood Markets and its competitors. For the Capital Markets industry, the median Cash Ratio is 0.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Robinhood Markets's current Cash Ratio is 0.34, which is 19% below median its own 10-year median of 0.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Robinhood Markets stock overvalued right now?
Based on GuruFocus' analysis, Robinhood Markets (XSWX:HOOD) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF49.42, compared to a current price of CHF89.37 — trading 80.8% above its estimated fair value. The current Cash Ratio is 0.34, which is 19% below median its 10-year median of 0.42 and 63.8% below the Capital Markets industry median of 0.94. Robinhood Markets' overall GF Score™ is 53/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Robinhood Markets (XSWX:HOOD), the current Cash Ratio is 0.34 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Robinhood Markets (XSWX:HOOD) Overvalued in 2026?
Based on GuruFocus' analysis, Robinhood Markets stock appears to be overvalued.
The current stock price of CHF89.37 is trading 80.8% above its estimated GF Value™ of CHF49.42.
GuruFocus considers Robinhood Markets to be Significantly Overvalued.
Key valuation signals for XSWX:HOOD:
Cash Ratio: 0.34 (19% below median its 10-year median of 0.42)
GF Value™: CHF49.42 vs. price of CHF89.37 (80.8% above fair value)
Industry Position: 63.8% below the Capital Markets median (#502 of 682)
No single metric tells the full story. See the XSWX:HOOD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Robinhood is a diversified financial services provider best known for its retail brokerage platform, which historically caters to a young, risk-seeking clientele that trades heavily on margin and in higher-risk asset classes like options, futures, cryptocurrencies, and more recently, in prediction markets. As those customers' financial needs have begun to mature, Robinhood has rolled out a suite of more conventional products, from retirement accounts to high-yield cash sweep accounts to nascent advisory services (Robinhood Strategies). With $322 billion in customer assets and 27 million active accounts at year-end 2025, the firm has emerged as a significant player in the large, quickly growing US brokerage market.
53GF Score
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