2023-11-13 09:40:27 ET
Google-parent company %Alphabet (NASDAQ: GOOGL) has sold its remaining stake in online trading platform %Robinhood (NASDAQ: HOOD).
Alphabet had previously cut its stake in Robinhood by nearly 90%. It has now sold the remaining 612,214 Robinhood shares it owned, which was worth about $5 million U.S.
Alphabet had invested in Robinhood Markets when it was still an unlisted start-up company that was popular among retail investors who liked its commission-free trading in stocks and crypto.
However, the shine has come off Robinhood over the last 18 months and its stock has fallen sharply due to the bear market of last year and as interest rates have risen to a 22-year high.
On Nov. 7, Robinhood reported a third-quarter financial loss of $0.09 U.S. per share and said that the number of monthly active users on its trading platform declined 16% from a year earlier.
Robinhood’s stock has fallen 77% since it made its market debut in July 2021. The company’s shares currently trade at $8.23 U.S. each.