Investment in Robinhood pre-IPO stock is complete

The company’s stock drops amid the fading “meme stock” craze and broad tech stock correction.

The popular fintech app showed the world that trading can be easy and fee-free. Now Robinhood is used by 23 million people.

Investment in Robinhood was first introduced on the UT platform in July 2019. Then a single share was $15.2, with the company’s valuation hitting $11.5 billion. The pandemic took Robinhood through a surge of popularity, leading to a twofold increase in the number of customers. In April 2021, its stock price on the private market was as high as $65.

Robinhood's financial performance over the past few quarters has been erratic: revenue per user climbed to $137 and then dropped to $64. This is largely due to the craze of meme stock and crypto trading. The tumult in tech stocks also had a negative impact on the dynamic of Robinhood shares.

Robinhood went public in July 2021. Yesterday, upon the end of the lock-up period and the transfer of shares to our brokerage account, the investment closed. The stock price on the first day of trading on February 14 was $13.10. Thus, the investment result excluding fees was -14% for those who invested in July 2019, and -79% for those who invested in Robinhood in April 2021.

Robinhood plans to expand into global markets beyond the U.S. and will focus more on long-term investments. It expects the average deposit size to increase as the app's core audience (millennials) matures. Recently Robinhood rolled out a feature that allows customers to transfer assets from other brokerages into Robinhood (ACATS) and in January – a public beta for crypto wallets.

You can invest in Robinhood stock on the UT platform in the Stocks and ETF section.