OMAHA — Berkshire Hathaway’s vice-chairman Charles Munger said on Saturday that retail broker Robinhood Markets Inc, which is trading conclude to a account low, became getting its comeuppance.
After a peak in 2020 in trading volumes, Robinhood posted a 43% plunge in first-quarter earnings earlier this month as transaction volumes declined across asset classes amid miserable performance of shares. The company said it became shedding 9% of its elephantine-time workers.
“Search what took bellow to Robinhood from peak to trough, wasn’t it evident one thing delight in that became going to happen?” said Munger. “When it came out and went public and all and sundry went gambling… it became disgusting… Now it’s unraveling, God is getting staunch.”
The firm became on the center of the retail trading frenzy when traders used the platform last One year to pump cash into shares of so-called meme shares, in conjunction with GameStop and AMC Entertainment.
Shares of the Menlo Park, California-essentially essentially based firm were sold in its IPO last July for $38 apiece. They closed on Friday at $9.80.
Robinhood did now not staunch now acknowledge to demand for roar. (Reporting by Carolina Mandl Modifying by Carve Zieminski)
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