Renaissance Capital logo

High-growth retail brokerage Robinhood Markets files for an estimated $2 billion IPO

July 1, 2021
HOOD

Robinhood Markets, a fast-growing no-fee stock trading app, filed on Thursday with the SEC to raise up to $100 million. However the deal size is likely a placeholder for an IPO that we estimate could raise up to $2 billion.

Robinhood is known for pioneering commission-free stock trading with no account minimums, and remains popular among young and first-time investors and traders. As of March 31, 2021, it had 18.0 million funded brokerage accounts.

The Menlo Park, CA-based company was founded in 2013 and booked $1.35 billion in revenue for the 12 months ended March 31, 2021. It plans to list on the Nasdaq under the symbol HOOD. Robinhood Markets filed confidentially on March 22, 2021. Goldman Sachs, J.P. Morgan, Barclays, Citi, and Wells Fargo Securities are the joint bookrunners on the deal. No pricing terms were disclosed.