Robinhood’s share price soared a massive 50.41% on Wednesday as investors continued to buy shares of the newly listed trading platform.
Robinhood’s share price soared a massive 50.41% on Wednesday as investors continued to buy shares of the newly listed trading platform. Robinhood, trading under the stock ticker HOOD on NASDAQ, closed at $70.39 per share on Wednesday, extending its gains to 95% so far this week. As the price rose, ARK Investment Management’s star stock picker Cathie Wood added more shares of Robinhood to various funds. Robinhood made a lukewarm debut on the stock exchanges earlier last month, falling below more than 8% below the IPO price on the listing day.
Retail investor’s interest in Robinhood has increased this week. Retail investors bought a net $19.4 million worth of Robinhood shares earlier this week, putting it in the top 10 most purchased stock and eleventh most traded security on retail platforms, a Bloomberg report said, quoting data from Vanda Securities Pte. Customers of Fidelity Brokerage Services were most interested in Robinhood shares on Wednesday, placing as many as 32,934 buy orders, significantly higher than AMC Entertainment’s 17,640 buy orders, which was the second most wanted stock by Fidelity customers.
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Reddit traders on WallStreetBets have also been tracking Robinhood, according to Swaggy Stocks, a tracker for the online trading community. There were over 900 positive mentions of Robinhood on the platform.
Shares of Robinhood have now made up for its weak debut as prices soared higher from the upper end of the IPO price band. Cathie Wood holds Robinhood shares in her ARK Fintech Innovation ETF and ARK Innovation ETF. The latter holds 4.88 million shares of the trading platform valued at $343 million while the fintech innovation ETF has more than 680,000 shares of the company, valued at $47.87 million. The latest of Cathie Wood’s addition to Robinhood holdings came on Tuesday when, according to reports, she purchased 89,622 shares of the company.
Earlier this week Mad Money host Jim Cramer said that he believes shares of Robinhood could be purchased at their current levels (as on Monday), adding that the platform has a bright future catering to the financial preferences of younger people. Cramer added that Robinhood share price could soar higher if the company acquires another firm from the trading industry. Jim Cramer continues to believe that Robinhood’s long-term story remains promising.