Shares of Robinhood Markets Inc. surged for a second day Wednesday, almost doubling as investors piled into options on the first day they traded.
Robinhood, which made its debut on Nasdaq last week at $38 a share, hovered around $60 in recent trading, a 29% increase, after jumping as high as $85 earlier in the session. The performance marks a remarkable turnaround for a company that just last week suffered a disappointing start to trading. On the day that trading kicked off, Robinhood tumbled more than 10% intraday, before finishing below $35 a share.
This week, however, sentiment surrounding the stock has reversed course. Some individual investors have ramped up their buying, purchasing $19.4 million of Robinhood stock Tuesday on a net basis—their highest daily amount yet, according to data from Vanda Research’s VandaTrack.
Cathie Wood, the chief executive and chief investment officer of ARK Investment Management LLC, also has scooped up shares. According to data as of Tuesday published to ARK’s website, the flagship ARK Innovation exchange-traded fund holds about 4.9 million Robinhood shares. ARK also holds Robinhood stock in at least two of its other ETFs, according to ARK fund holdings data.
Volatility caused the Nasdaq to halt trading of the stock, listed under the ticker HOOD, three times Wednesday morning.