FIT - 3 Top Robinhood Stocks That Investors Should Rethink
The Robinhood trading app has stoked the interest of young investors. Although these traders have found some potentially lucrative stocks, some of those stocks could become potential investor pitfalls. To this end, knowing when to sell shares will become a critical skill if these investors are to succeed.
Part of determining the right time to sell involves recognizing financial or business conditions that make staying in a stock untenable. Unfortunately, many of the most popular stocks on Robinhood face such issues. Given those challenges, Robinhood investors may want to re-evaluate their holdings in Aurora Cannabis (NYSE: ACB), Fitbit (NYSE: FIT), and Ford Motor Company (NYSE: F).
During the marijuana stock bubble in 2017 and 2018, Aurora Cannabis had become one of the largest producers of marijuana. However, once interest in pot stocks waned, Aurora's production abilities became a huge disadvantage as the market experienced a massive oversupply. This sent Aurora stock below $1 per share, forcing the company to institute a 1-for-12 reverse stock split.