5 Cathie Wood Stocks That Can Rebound in 2023

In this article, we discuss 5 Cathie Wood stocks that can rebound in 2023. If you want to see more stocks in this selection, click 10 Cathie Wood Stocks That Can Rebound in 2023. 

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

YTD Share Price Decline as of June 28: 51.93%

Number of Hedge Fund Holders: 19

Robinhood Markets, Inc. (NASDAQ:HOOD) is an American financial services company that operates as a stockbroker and offers an electronic trading platform to users. The company allows trading of stocks, exchange traded funds, and cryptocurrencies. Cathie Wood of ARK Investment Management raised her Robinhood Markets, Inc. (NASDAQ:HOOD) stake by 28% in Q1 2022, holding 30.35 million shares worth $410 million. 

On June 28, Robinhood (HOOD) shares were up 14% driven by a Bloomberg report that FTX is interested in acquiring the company, although FTX indicated no plans to purchase Robinhood Markets, Inc. (NASDAQ:HOOD), Mizuho analyst Dan Dolev informed investors in a research thesis. The analyst believes a possible deal would be positive news for Robinhood Markets, Inc. (NASDAQ:HOOD) “as it helps expand its reach and breadth”. He also thinks that the company “can survive, and thrive on its own”. Dan maintained a Buy rating on the shares with a $14 price target.

According to Insider Monkey’s first quarter database, 19 hedge funds were long Robinhood Markets, Inc. (NASDAQ:HOOD), compared to 24 funds in the preceding quarter. Joshua Kushner’s Thrive Capital is one of the leading shareholders of the company, with 20.4 million shares worth $275.75 million. 

Here is what Claret Asset Management has to say about Robinhood Markets, Inc. (NASDAQ:HOOD) in its Q4 2021 investor letter:

“Robinhood went public at $38 a share at the end of July of this year. After a one day decline of 8%, it proceeded to rise to a peak of $85 in a matter of 4 days before settling down around $40 in September. Then, we found out that the company does not appear to understand the margin rules that apply to their client’s trades… and got fined by the Securities Exchange Commission. As of today, it is trading below $20, at 57 times earnings, approximately half of its IPO price. Caveat emptor… Buyer beware.”