HOOD vs. BULL: Here’s the Fintech I’d Rather Buy for Growth

Robinhood (NASDAQ:HOOD) and Webull (NASDAQ:BULL) are two intriguing fintech firms that are cashing in on the retail trading boom this year. As the bull market looks to extend into year’s end, thanks in part to increased liquidity and more enthusiasm to participate in the so-called AI boom (and the rise of agentic AI), some of the heated fintech firms may be worth consideration as they come in. At the time of writing, shares of HOOD have dipped over 6% while BULL shares are now in correction territory after experiencing an explosive upside surge during the early months of summer.

Let’s check in on the two high-growth fintech bets to see which, if either, is worth picking up a few shares of as September comes around the corner.

Robinhood

Robinhood stock has really been booming again, with shares now up around 923% in two short years. Indeed, it was hard to believe that the firm behind the retail trading platform that paved the way for the meme stock frenzy back in 2021 has been a near-10-bagger in just over two years.

Though meme stock trading has really picked up this year, with tons of liquidity chasing several hard-hit, shorted names across the market, there hasn’t quite been anything as absurd as the meme madness of 2021. Indeed, meme rallies have been quite short in duration. And while things could change going into the new year, especially as more retail chases fewer opportunities, Robinhood will probably stand to benefit.

For now, crypto trading, meme trading, and, of course, sound long-term investments, are alive and well. Though the next bear market will probably bring forth another chilling winter season for the retail trading platform, I do think it’ll be tough to predict, especially as AI stocks prove to the world that it’s not in a bubble.

At 54.8 times trailing price-to-earnings (P/E), HOOD stock looks priced for perfection. However, as the firm doubles down on crypto trading (the Bitstamp deal is huge) while going down the route of 24/5 trading and the tokenization of assets trend, I do think Robinhood will continue to make the most of this latest bullish ascent.

Webull

Webull is a relative lightweight on the scene, with a modest $7.25 billion market cap, but it stands to gain from many of the forces driving Robinhood higher in recent years. Undoubtedly, the relaunch of crypto trading for U.S. customers is a big deal.

Looking ahead, I do see more upside potential in shares of Webull, especially if the bull market has years to go before the bear’s next appearance. With President Donald Trump’s push for deregulation and willingness to embrace new-age technologies, I do view the environment as conducive to more next-level growth in fast-rising fintechs like Webull. 

At the time of this writing, shares of BULL trade at just 12.4 times trailing P/E and just under 17 times price-to-sales (P/S). Undoubtedly, shares look cheap for a high-growth high-flyer. And while the next bear market will likely be unkind to the name, I do think that investors can expect the firm to keep “over-earning” in upbeat years for financial markets. I guess the big question for investors is how strong they think the legs of the bull market really are.

Given it’s impossible to time the next bear market, I certainly wouldn’t bet against Webull or any of the other fintechs as they look to correct and perhaps move on, readying for the next wave of retail investors who are looking to put their paychecks to work in a broad range of risk-on and risk-off investments.

Between Robinhood and Webull, I’d have to go with the latter. It’s the smaller, cheaper player that could have more ground to catch up as it looks to boom in this bull market.

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