Investing News

The Robinhood website home screen on a smartphone.

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Restrictions on Robinhood traders are still tight and getting tighter throughout the day on Friday, now only allowing GameStop holders to buy a single additional share.

The stock trading app has also expanded its list of restricted stocks from 13 earlier in the day to 23.

Robinhood’s restrictions are quiet limiting:

Robinhood trading limits on certain stocks


The restricted list tells clients how many shares and options contracts they can buy pertaining to a particular security. Robinhood customers holding GameStop can only buy one share and up to five options contracts.

The stock, which is up 50%, is well off its highs of the day as the new more severe limits were implemented. Earlier in the day, holders could buy five shares of GameStop.

It was unclear whether customers wanting to open a GameStop position could only buy a single share.

“Opening new positions in the securities listed in the table below is currently allowed, but limited,” Robinhood said in the help center message.

Clients can buy up to an additional 10 shares and 10 options contracts in AMC Entertainment, which is down from an earlier 115 shares. Shares of AMC Entertainment are up 50% but also well off their highs of the day.

The stock trading app has also expanded its list of restricted stocks. Some of the new names include Advanced Micro Devices, Jaguar Health and Rolls-Royce.

On Thursday, Robinhood told clients it was only allowed to sell shares, not buy new ones, in certain securities that were garnering social media attention from Reddit crowds. The firm also raised margin requirements, or the amount of money in a clients account when they will be using leverage to buy a security.

Robinhood said the trading restrictions were risk management decisions to protect Robinhood and its clearinghouses, but touted that the restrictions would be eased on Friday.

The free trading pioneer raised $1 billion in investor money and tapped more credit lines overnight for its clients to be able to trade names like GameStop and AMC Entertainment on Friday.

However, it appears the restrictions are getting tighter throughout the trading day, as the list of limited securities grows and the number of shares clients can buy shrinks for certain stocks.

Robinhood did not immediately respond to CNBC’s request for comment.

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