How Robinhood Is Reaching the Public in IPO Roadshow

Author:
Publish date:
Video Rating:
TV-G
Video Duration:
1:16

Robinhood, a popular trading app, is doing an IPO Roadshow on July 24, a move seen as creating hype around its impending IPO.

Related: Robinhood Sets IPO Price Range, Aims for $35 Billion Debut Market Value

The company said that on Saturday, Robinhood CEO Vlad Tenev and his team would be answering questions from the public during a one-hour live stream that starts at 3 p.m. ET. 

Robinhood has encouraged people to submit questions before July 23.

“…we’re excited to democratize the roadshow process and invite everyone to take part in an activity that’s typically been reserved for institutional investors and financial insiders," said Robinhood.

Robinhood, despite its popularity as the app that brought retail investors to the market, came under scrutiny earlier this year when it restricted trades of GameStop  (GME) - Get Report, AMC Entertainment  (AMC) - Get Report, and other stocks.

Related: What Politicians Are Saying About Robinhood

In June, Wall Street regulator FINRA also fined Robinhood around $70 million for “systematic supervisory failures and significant harm suffered by millions of customers."

Related: FINRA Fines Robinhood Around $70 Million: How the Company Responded

It's worth mentioning that the Oracle of Omaha, Warren Buffett is not a fan of Robinhood either. At Berkshire Hathaway’s annual meeting in May, he slammed Robinhood, saying the app promotes ‘casino-like behavior.’

Despite all the recent controversy, TheStreet's founder Jim Cramer is positive about the company. Cramer said that Robinhood is destined to be a darling of the retail trader.

Related: Is Robinhood the Next Cult Stock? Jim Cramer's Take

The company is expected to raise $2.3 billion with its IPO.

Related Videos