Robinhood (HOOD) lifts buyback program to $1.5 billion

Robinhood Announces $1.5 Billion Share Repurchase Program

Robinhood’s board has recently approved a new $1.5 billion share repurchase program, as reported in an 8-K filing with the U.S. Securities and Exchange Commission. This program adds over $1.1 billion to the existing buyback capacity of the company.

The company intends to execute this plan over a period of approximately three years, commencing in the first quarter of 2026. However, there is no fixed requirement for the amount to be repurchased.

In addition to the share repurchase program, Robinhood has also enhanced its funding access. Its subsidiary, Robinhood Securities, has entered into an updated credit agreement with a group of lenders led by JPMorgan. This agreement expands a revolving credit facility to $3.25 billion from $2.65 billion, with the potential to increase total commitments to $4.875 billion.

Despite being one of the hottest stocks last year, particularly due to the surge in crypto-related trading, HOOD has experienced a decline of more than 50% in its value since the peak of bitcoin in early October. However, shares have seen a 1.4% increase in after-hours trading.