Robinhood Markets, Inc. (HOOD) operates as an online discount brokerage company offering zero-commission trading services on several U.S.-listed securities. The company provides a web- and mobile-based platform that makes buying and selling stocks simple and seemingly free. The company has net cumulative funded accounts of 22.9 million and 14 million monthly active users.
HOOD became wildly popular during the height of the pandemic among millennial and Gen Z traders. Several HOOD users bet on meme stocks to generate massive gains from their short squeezes. Despite weak fundamentals, many stocks traded on its platform soared to unsustainable prices solely based on social-media hype surrounding them.
