Robinhood: 3 Ways To Stop The Pain
Summary
- Robinhood's 88.3% peak-to-trough decline in roughly six months makes the stock tempting. But is it a siren song?
- There are three ways to end the misery of Robinhood's epic stock declines, but none of the ways are a quick fix.
- In order for Robinhood investors to be confident that a true, long-term bottom is in place, the SEC must decide not to ban payment-for-order-flow.
- In my opinion, the SEC does not need to ban PFOF to accomplish its objectives, and I present alternatives in the commentary below.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of SPY, IWM, QQQ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
I am long PayPal bonds.
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