Robinhood stock soars on trading hours extension

Robinhood is foreshadowing a 24/7 trading world

Robinhood shares soared after announcing plans to extend trading hours for customers an extra six and a half hours of trading daily.

Ticker Security Last Change Change %
HOOD ROBINHOOD MARKETS INC. 20.13 +0.13 +0.65%

The stock rose over 24%, the largest increase since Aug. 4, 2021, when it gained over 50% as tracked by Dow Jones Market Data Group. 

The new time band includes 2.5 hours before or 7 a.m. ET ahead of the 9:30 am ET traditional opening bell, while after-hours trading continues for four additional hours to 8 p.m. ET following the 4 p.m. ET traditional close. 

The change was prompted by feedback from customers, some of whom said they are preoccupied during traditional market hours. 

"In fact, we’ve seen a community of Robinhood early birds and night owls who log in exclusively outside of regular market hours. They’re juggling a lot, from full-time jobs to school, families and side gigs. Our new extended trading hours for equities will give them more opportunities to manage their portfolio at a convenient time for them, whether that’s in the early morning or in the evening," the company wrote on its blog.

Ticker Security Last Change Change %
SCHW THE CHARLES SCHWAB CORP. 72.33 -0.08 -0.11%
IBKR INTERACTIVE BROKERS GROUP INC. 111.71 +0.28 +0.25%

Interactive Brokers already offers select clients extended trading hours. Pro account customers can begin at 4:00 AM ET through the market open and restart at 4 PM ET until 8:00 PM ET. For Lite accounts, trading begins at 7:00 AM ET and lasts until market open and restarts at market close until 8:00 PM ET.  

Longer hours allow investors to trade after the bell earnings news and foreign markets, among other events. 

Robinhood, which boasts 17.3 million active monthly users, went public in July 2021.