The 4 Fastest-Growing Stocks Robinhood Investors Are Buying
It's been a tumultuous year for the stock market, with the broad-based S&P 500 losing more than a third of its value in under five weeks, and gaining it all back in less than five months. Both the steepness of the bear market decline and the swiftness of the rebound are all-time records.
When volatility like this becomes the norm, it tends to draw short-term and/or novice traders. We know this because online investing app Robinhood, best known for offering commission-free trades and parceling out free shares of stock to new members, has seen its membership soar. The typical Robinhood user is only 31 years old, and the platform's leaderboard (i.e., its most-held stocks) is filled with penny stocks and other awful companies that typically attract only inexperienced investors.
But if you remove these penny stocks from the equation, you'll also realize that Robinhood investors absolutely love fast-growing stocks. Here are the four fastest-growing stocks (as measured by compound annual growth rate (CAGR)) currently among the 60 most-held securities on the platform. Note that I've excluded companies without substantive sales as of 2019, such as Nikola, Workhorse Group, and Inovio Pharmaceuticals, which would otherwise skew the results.
Source Fool.com
