[Fox Business] Google-parent Alphabet ditches nearly 90% of its Robinhood stake

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Alphabet, Google’s parent company, announced Friday that it significantly trimmed its stake in Robinhood Markets by nearly 90%.

The company now holds about 612,000 shares in the retail trading platform, according to a filing with the Securities and Exchange Commission. Its stake had consisted of nearly 4.93 million shares in the prior quarter, another SEC filing showed.

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The filing also showed the stakes the tech giant has in other companies, a few of which changed quarter-over-quarter. Some of the sectors included biotech, tech and financial.

Robinhood did not respond to FOX Business’ request for comment.

The retail trading platform said Wednesday it saw 10.8 million monthly active users in the second quarter. That marked a decline from 14 million in the same three-month period last year and from 11.8 million in the first quarter. 

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At the same time, Robinhood “reached a significant milestone by achieving GAAP profitability for the first time as a public company,” CEO Vlad Tenev said in the company’s earnings release. It had a quarterly net income of $25 million. 

In the second quarter, the company, which has laid off workers three times in the past roughly 1.5 years, brought in $486 million in total net revenues, a nearly 53% from the prior year.

Chief Financial Officer Jason Warnick said during the company’s earnings call that it “remain[s] focused on investing for growth to add new revenue streams like securities lending and instant withdrawals, as well as gain market share in our existing businesses.” 

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The company’s shares have traded on the Nasdaq since mid-2021

The stakes that Alphabet holds in Robinhood and the other companies listed on the SEC form it filed Friday had a combined total value of $1.86 billion, according to the filing.

Alphabet’s market cap stood at roughly $1.62 trillion as of Friday afternoon.

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