Jim Cramer Recently Shared Insights on These 18 Stocks

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

Number of Hedge Fund Holders: 76

Robinhood Markets, Inc. (NASDAQ:HOOD) is one of the 18 stocks Jim Cramer recently shared insights on. While discussing the company, Cramer called it “best of breed” and said:

“If you include Robinhood Markets, we have three publicly trading platforms that are incredibly popular with younger people… Robinhood, that’s our returning champion… We introduced them first, to be honest, because I love their app… On a more subjective note, I think management’s really matured. When we spoke with [the] CEO of Vlad Tenev earlier this year, I was struck by how big he’s thinking. I wish more people in this industry thought as big as Vlad did…

So, how do these three brokerages, the platforms, stack up against each other? First, let’s take scale because scale is often what dictates what’s going to win in a brokerage area. At the end of the first quarter, Robinhood had 25.8 million funded customer accounts, 180 billion in assets under custody… Robinhood obviously is much bigger than the other two platforms… Now, what about the financials? We just want to look at revenue growth and some measures of profitability. But comparing the three companies… is surprisingly challenging because they all use different key metrics.

For Robinhood, we’re going to use the company’s total net revenues result… For Robinhood, we see really impressive numbers across the board. I mean, they’re doing so well… First thing you notice, Robinhood is head and shoulders above the rest in terms of both revenue growth and profitability…

Putting it all together, Robinhood remains the clear best of breed. What can I say?… So Robin and eToro are the only two I’d even consider. Robin has a better business… The truth is, as much as I like the overall Robinhood story and you know I do, I guess I get a little nervous about a stock that’s just run 192% and another 95% gain year to date. I mean, hold on, that’s too much…

Look, you know, I’m too tough on Robin. I think Robinhood is terrific. It’s just that… this stock price, it just doesn’t stop, and that gets me worried. But man, the company’s good. Here’s the bottom line: For the long term, I think Robinhood’s the safest way to play it, even as I prefer to wait for a pullback before pulling the trigger.”

Robinhood (NASDAQ:HOOD) provides a financial platform that enables users to trade stocks, ETFs, options, gold, and cryptocurrencies and offers several investing tools.