Robinhood (NASDAQ: HOOD) stock has been on fire, surging 87% higher over the past twelve months. The company gained notoriety for its role in the meme-stock-fueled frenzy, which sent its shares up to $85 in the days following its 2021 IPO.
Despite the recent rally, Robinhood stock is still 80% below its all-time high. The company has made progress in improving its bottom line in recent quarters. However, it has some big questions it still needs to address. Here are a few things you'll want to consider before buying Robinhood.
Founded over a decade ago, Robinhood set out to "democratize finance for all" and make investing more accessible and affordable for retail investors. The company ushered in zero-commission trading, turning traditional brokerage profit models on their head. It also popularized fractional shares, and its innovation has spurred brokerages to change.
Source Fool.com