ETFs & Funds
Home›ETFs & Funds›ETFs›Direxion Daily HOOD Bull 2X ETF rises as Robinhood pre…
Direxion Daily HOOD Bull 2X ETF rises as Robinhood prediction tailwinds grow
Morgan Stanley cited Robinhood’s Rothera exchange as a catalyst, while Piper Sandler pointed to shifts in event contract volume toward Rothera that could lift prediction market revenue in 3Q26 and 4Q26.
Robinhood Markets shares have drawn fresh analyst attention, and that momentum is benefiting the Direxion Daily HOOD Bull 2X ETF (HODU), a single-stock ETF designed to target 200% of the daily performance of Robinhood shares, according to coverage from ETF Trends.
The sell-side discussion centers on Robinhood’s prediction market expansion, including Rothera, a yes/no exchange that is a joint venture between Robinhood and market maker Susquehanna International Group. ETF Trends reports that Morgan Stanley analyst Michael Cyprys highlighted Rothera as extending Robinhood’s distribution advantage into infrastructure.
ETF Trends also cites Piper Sandler analyst Patrick Moley, who said Robinhood has steered more event contract volume to Rothera away from partner Kalshi over recent months. With World Cup volumes viewed as a leading indicator, Moley projected that the NFL and NCAA football season could become a significant catalyst for HODU’s and Robinhood’s prediction market revenue in the 3Q26 and 4Q26 periods.
For context on the seasonal trade, ETF Trends said Robinhood users represented between 22% and 30% of all volume traded on Kalshi during football season last year, when Robinhood was a key volume driver for Kalshi.