Artisan Global Opportunities Fund on Robinhood Markets, Inc.
Thesis
Robinhood combines brokerage and active-trading services with a widening retail wealth platform. The fund started a small Garden position after crypto-related weakness created what it considered an attractive valuation entry. Deposit growth and increasing customer assets indicate that the platform continues to win customers despite cryptocurrency softness. Retirement, banking, lending and credit expansion could drive multiyear share gains, revenue growth and margin expansion.
“we see a multiyear opportunity for potential revenue growth and margin expansion.”
Key risks
- Lower cryptocurrency prices have already pressured the stock and may weigh on activity.
- The multiyear thesis depends on Robinhood continuing to attract and retain long-term customer assets.
- Expansion into new financial products must translate into profitable revenue and margin growth.