In this article, we discuss 5 most profitable Robinhood stocks. If you want to see more most profitable Robinhood stocks, the risk/reward, and methodology of this list, go directly to 12 Most Profitable Robinhood Stocks.
5. Bank of America Corporation (NYSE:BAC)
Net Income (TTM) as of December 31, 2022: $27.53 billion
Bank of America Corporation (NYSE:BAC) is one of the largest financial institutions in the world with around 67 million consumer and small business clients and also 3,900 retail financial centers. For 2022, Bank of America Corporation (NYSE:BAC) also was one of the most profitable banks in the United States with a net income of $27.53 billion for 2022, ranking it #5 on our list of 12 Most Profitable Robinhood Stocks. Although its net income could decline if there is an economic slowdown this year, Bank of America Corporation (NYSE:BAC) has long term normalized earnings power.
4. Pfizer Inc. (NYSE:PFE)
Net Income (TTM) as of December 31, 2022: $31.37 billion
Pharmaceutical giant Pfizer Inc. (NYSE:PFE) had a net income of $31.37 billion in 2022 according to YCharts in addition to full year revenues of $100.3 billion. Excluding contributions from Paxlovid and Comirnaty, the company’s sales rose 2% year over year operationally. For 2023, Pfizer Inc. (NYSE:PFE) sees adjusted diluted EPS of $3.25$-$3.45. Pfizer Inc. (NYSE:PFE) has a dividend yield of 3.79% as of 2/16.
3. Alphabet Inc. (NASDAQ:GOOG)
Net Income (TTM) as of December 31, 2022: $59.97 billion
Alphabet Inc. (NASDAQ:GOOG) is a tech giant with substantial sales and profits. For Q4, Alphabet Inc. (NASDAQ:GOOG) had consolidated revenues of $76 billion, up 1% year over year and up 7% in constant currency. For full year 2022, Alphabet Inc. (NASDAQ:GOOG)’s sales rose 10% year over year to $283 billion. Net income was $59.97 billion in 2022 according to YCharts. While the company grew last year, it faces more competition in the future and will need to continue to innovate to maintain or increase its profitability.
Alphabet Inc. (NASDAQ:GOOG) CEO Sundar Pichai said in February 2023: “Our long-term investments in deep computer science make us extremely well-positioned as AI reaches an inflection point, and I’m excited by the AI-driven leaps we’re about to unveil in Search and beyond. There’s also great momentum in Cloud, YouTube subscriptions, and our Pixel devices. We’re on an important journey to re-engineer our cost structure in a durable way and to build financially sustainable, vibrant, growing businesses across Alphabet.”
2. Microsoft Corporation (NASDAQ:MSFT)
Net Income (TTM) as of December 31, 2022: $67.45 billion
Microsoft Corporation (NASDAQ:MSFT) is a giant tech company with $198 billion in revenue for fiscal year 2022, with Microsoft Cloud surpassing $100 billion in annualized revenue for the first time in the year. For 2022, Microsoft Corporation (NASDAQ:MSFT) is also one of the most profitable in the world with net income of $67.45 billion according to YCharts.
Baron Funds commented on Microsoft Corporation (NASDAQ:MSFT) in a Q3 2022 investor letter,
Shares of Microsoft Corporation (NASDAQ:MSFT) pulled back with the overall software industry on the back of macroeconomic issues, including inflation concerns and rising interest rates. The company reported another strong quarter, highlighted by total revenues growing 16% on a constant currency basis and Microsoft Cloud revenues, now 48% of total sales, growing 33%, with Azure (Microsoft’s infrastructure cloud) growing 46%. These results were driven by strong demand for large commercial cloud contracts, as more businesses are standardizing on Microsoft’s platform and the company is signing larger and longer deals. Initial fiscal year 2023 guidance calls for healthy double-digit revenue and operating income growth. Both foreign exchange and personal computer headwinds were contemplated in the guidance and have continued to worsen, but we have conviction in the company’s strong competitive positioning, durable growth drivers, and margin expansion opportunity over the mid- to long term.
1. Apple Inc. (NASDAQ:AAPL)
Net Income (TTM) as of December 31, 2022: $95.17 billion
Apple Inc. (NASDAQ:AAPL) ranks #1 on our list of 12 Most Profitable Robinhood Stocks given its net income of $95.17 billion as of December 31, 2022. For the fiscal 2023 first quarter ended December 31, 2022, Apple Inc. (NASDAQ:AAPL) continued its installed base growth with over 2 billion active devices. Sales for the quarter were $117.2 billion, down 5% year over year, and quarterly earnings per diluted share was $1.88. Apple Inc. (NASDAQ:AAPL) CFO Luca Maestri said for the quarter, “We set an all-time revenue record of $20.8 billion in our Services business, and in spite of a difficult macroeconomic environment and significant supply constraints, we grew total company revenue on a constant currency basis. We generated $34 billion in operating cash flow and returned over $25 billion to shareholders during the quarter while continuing to invest in our long-term growth plans.”
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