Robinhood: It's Time To Dive In For The Long Haul

Gary Alexander
31.2K Followers

Summary

  • Shares of Robinhood have been in a consistent downtrend since its IPO, and have lost 40% year-to-date.
  • Slower trading activity driven by this year's correction has been a major headwind, though equity revenue declines have been offset by relatively stable options and crypto activity.
  • Robinhood's new product initiatives, including retirement accounts and 24/7 trading, may be avenues to growth in 2022.
  • Despite its slower revenue profile, Robinhood still remains profitable on an adjusted EBITDA basis.

Stock Trading Platform Robinhood Goes Public On The New York Stock Exchange

Spencer Platt/Getty Images News

We all know this fact but are often too risk-averse to act on it: there's never a better time to invest than in a crisis. And while the whole market (and especially tech stocks) have been in turmoil this year, few

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This article was written by

31.2K Followers
With combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in many web publications and his articles are syndicated to company pages in popular trading apps like Robinhood.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in HOOD over the next 72 hours. 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.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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