Cathie Wood’s investment firm purchased the stock after Robinhood fell 12% following earnings, while Wall Street focused on reported strong trading volumes in early April.
ARK Invest, the investment firm led by Cathie Wood, bought roughly $39.7 million of Robinhood shares after the trading platform’s stock dropped 12% following its earnings report. The source says Wall Street largely looked past Robinhood’s first-quarter miss, pointing instead to strong trading volumes in early April. The purchase highlights a common market pattern in which investors use sharp post-earnings declines to add exposure when they believe near-term operating momentum remains intact.