Cathie Wood’s ARK Invest has placed its biggest single-day bet of 2026 on Robinhood Markets (NASDAQ: HOOD), scooping up $23.8 million worth of shares on Feb. 11 — even as the stock sits more than 30% below its recent peak and continues to slide post-earnings.
The purchase, executed through the flagship ARK Innovation ETF (ARKK), marks the fund’s largest transaction so far this year. It brings ARKK’s total February allocation in Robinhood to approximately $50.7 million, following earlier buys of $21.7 million on Feb. 2 and $5.2 million on Feb. 3.
The aggressive accumulation suggests Wood views the pullback as a buying opportunity rather than a red flag. Notably, the same week ARK trimmed its exposure to another crypto-linked name, Coinbase (NASDAQ: COIN), selling more than $20 million across multiple ETFs — a clear sign of portfolio rotation.
Robinhood shares have fallen 31% year-to-date and closed at $78.07 on Feb. 11, down 8.69% in a single session. The sell-off has been widely attributed to investor disappointment following the company’s latest earnings report. But beneath the surface, the numbers tell a more nuanced story.
The company reported Q4 2025 diluted earnings per share of $0.66, beating analyst estimates, while total revenue climbed 27% year-over-year to $1.28 billion. For the full year, Robinhood generated $4.5 billion in revenue and $1.9 billion in net income — underscoring its ability to stay profitable even as retail trading activity cools.
What has cooled, however, is crypto. Fourth-quarter crypto transaction revenue fell 38% to $221 million, and notional crypto volumes dropped 52% year-over-year to $82 billion. Yet subscription revenue offered a bright spot: Robinhood Gold paid members surged 58% from a year ago to 4.2 million.
Wall Street remains broadly constructive on the stock. The consensus price target among 28 analysts tracked by FactSet stands at $122.81, implying significant upside from current levels. Truist Securities lowered its target from $155 to $130 but kept an Overweight rating. KeyBanc cut its target from $160 to $130 while reiterating a Buy. Wolfe Research upgraded the stock to Outperform with a $125 target.
Following the recent buys, Robinhood has entered the top 10 holdings across ARK’s fund complex. It now ranks as the ninth-largest position in ARKK, with a market value of roughly $328.5 million and a portfolio weight of 3.03%. For context, ARK’s entire Coinbase stake stands at $280.6 million (2.59%), while Tesla (TSLA) alone accounts for more than $1.1 billion — outweighing the firm’s total crypto-related exposure combined.
The moves reflect Wood’s long-standing investment discipline: leaning into short-term noise in search of long-term asymmetric upside. Whether this latest round of “buying the dip” pays off will ultimately be decided by the market.
