Is Robinhood Markets (HOOD) the Best Stock from Cathie Wood’s Portfolio to Buy Now?

Robinhood Markets Inc. (NASDAQ:HOOD) is among the top 10 stocks to bargain from Cathie Wood’s banal portfolio. ARK Investment Management substantially reduced its Robinhood presumption successful Q3, decreasing its stock number by astir 36% to 5.02 cardinal from 7.79 million. By quarter-end, the involvement represented astir 4.3% of ARK’s 13F portfolio and was valued astatine astir $718 million.

On November 25, Robinhood Markets Inc. (NASDAQ:HOOD) announced its plans to motorboat a caller futures and derivatives speech and clearinghouse. This determination is expected to grow its beingness successful prediction markets and enactment semipermanent positioning. Management noted that its prediction markets gross maturation has accelerated meaningfully recently, with much than 9 cardinal contracts traded by implicit 1 cardinal users successful the archetypal twelvemonth of launch.

The speech volition run done a associated task led by Robinhood Markets arsenic the controlling partner. Another cardinal spouse volition beryllium Susquehanna International Group, which volition beryllium a day-one liquidity provider. To accelerate regulatory readiness, the task volition get MIAXdx, a CFTC-licensed Designated Contract Market (DCM) and Derivatives Clearing Organization (DCO). MIAXdx is simply a wholly owned subsidiary of Miami International Holdings Inc. (NYSE:MIAX), which volition clasp a 10% strategical involvement successful the speech nether the presumption of the deal.

The JV’s operations are expected to statesman successful 2026 and presumption Robinhood for deeper information successful the rapidly expanding derivatives and prediction markets.

Earlier, connected November 17, Gautam Chhugani, an expert astatine Bernstein, had reaffirmed a Buy standing connected Robinhood with an unchanged terms people of $160. Overall, the statement remains a beardown Buy connected the stock, with a 1-year median terms people of $155, representing a further 34% upside.

Robinhood Markets Inc. (NASDAQ:HOOD) is simply a U.S.-based retail brokerage and trading level that enables idiosyncratic investors to commercialized stocks, options, futures, and cryptocurrencies, chiefly done a zero-commission model.

While we admit the imaginable of HOOD arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published astatine Insider Monkey.