Piper Sandler has increased its price target for Robinhood (HOOD) from $120 to $140, highlighting robust growth in prediction markets. The investment bank attributes this growth to Robinhood's collaboration with Kalshi, which has significantly boosted trading activity. In September, event contract trading volume was estimated at $2.6 billion, with Robinhood users contributing 25% to 35% of this total. Robinhood's annualized revenue has surpassed $200 million, leading Piper Sandler to revise its earnings per share forecasts for 2025 to 2027. This optimistic outlook reflects the company's expanding influence in the prediction market sector and its potential for continued financial growth.