Here’s what Robinhood’s ( HOOD ) entry into the UK ISA market means for stocks


Robinhood Markets, Inc. (NASDAQ:HOOD) is one of the 10 Best Financial Stocks to Buy for the Long Term. On February 2, Robinhood Markets, Inc. (NASDAQ:HOOD) announced the launch of a stocks and shares ISA (Individual Savings Account), marking an important step in its international expansion. The new account offers UK customers a number of attractive features, including no fees, zero platform fees, low foreign exchange fees and a 2% cash bonus on contributions made before 5 April 2026. According to the company, the new ISA is designed to make long-term investing profitable and more accessible to individual investors.

10 AI Stocks Making Waves on Wall Street
10 AI Stocks Making Waves on Wall Street

The company said ISAs are the most widely used long-term savings vehicle in the UK, but historically many investors have been put off by the complicated transfer process, high fees and outdated platforms. The newly launched ISA addresses these issues while giving UK clients access to approximately 5,000 US-listed shares and American Depositary Receipts (ADRs).

Dan Dolev, an analyst at Mizuho, ​​said the launch of the ISA is a key positive catalyst for the company. He reaffirmed his buy rating on Robinhood Markets, Inc. (NASDAQ: HOOD ) with a $172 price target, offering a compelling 91% upside to current levels.

The analyst highlighted the positive impact of the ISA stating:

“We see the launch of Robinhood’s ISA as a significant positive catalyst for HOOD’s international expansion efforts, given the product’s broad popularity and significant opportunity within Robinhood’s younger demographic (18-34), where ISA usage remains below the UK national average.”

Dan Dolev emphasized the size of the total addressable market for Robinhood’s new offering. It said the market value of UK adult ISA holdings is more than $1tn in cash and shares, compared with the company’s assets under custody of about $333bn as of the third quarter of 2025.

Robinhood Markets, Inc. (NASDAQ: HOOD) operates a financial services platform. The company’s platform allows users to invest in exchange-traded funds (ETFs), options, cryptocurrencies, American depositary receipts (ADRs), stocks and gold. It also operates and owns a digital currency market.

While we recognize HOOD’s potential as an investment, we believe some AI stocks offer greater upside potential and less downside risk. If you’re looking for an extremely undervalued AI stock that will also benefit significantly from Trump-era tariffs and the onshoring trend, check out our free report on the best short term AI stock.



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