13 Most Profitable Growth Stocks to Buy Now

Page 4 of 11

8. Robinhood Markets, Inc. (NASDAQ:HOOD)

Net Profit in the latest fiscal year: $1.68 billion

Revenue CAGR last 5 years: 81.28%

Number of Hedge Fund Holders: 79

​Robinhood Markets, Inc. (NASDAQ:HOOD) offers a digital platform for commission-free trading of stocks, ETFs, options, and cryptocurrencies. Its suite of services is tailored towards retail investors and includes Robinhood Financial for brokerage, Robinhood Crypto for digital assets, and Robinhood Money for cash management, with recent expansions into retirement accounts, credit cards, and AI-driven financial advice.

Robinhood Markets, Inc. (NASDAQ:HOOD) achieved record-breaking performance in Q4 2024, surpassing $1 billion in quarterly revenue for the first time in company history, contributing to a full-year revenue of over $3 billion, representing a 58% increase from 2023. The company demonstrated strong growth across multiple metrics, including a 30% YoY increase in market share for both equities and options, record net deposits exceeding $50 billion, and an impressive 80% growth in Gold subscribers to 2.6 million users. The company’s Gold Card program has shown promising results with over 100,000 cardholders, and they plan to expand this significantly in the coming months.

Looking ahead to 2025, Robinhood Markets, Inc. (NASDAQ:HOOD) maintains strong momentum with January showing their second-highest month ever for net deposits and all-time high options volumes. The company’s new products are showing early success, with the Legend platform reaching $50 million in annualized trading revenue and index options reaching $15 million, demonstrating strong week-over-week growth rates. HOOD plans to continue its expansion through product innovation, market share gains, and entry into new markets, making it one of the most profitable stocks to invest in.

Page 4 of 11