Robinhood Markets (HOOD -1.18%) went public on July 29, 2021, at $38 a share. Ten thousand dollars at that price bought around 263 shares. At about $119 as I write this, they’re worth about $31,300.

That’s a gain of more than 200%, far above what the S&P 500 (^GSPC +0.51%) returned during the same stretch.

But getting there took plenty of patience. The stock spent most of its first year as a public company dropping. And I’d say the business an IPO buyer owns now makes its money in very different ways from the one that went public.

Image source: The Motley Fool.

A round trip through $6.89

Robinhood’s shares ended their first trading day at $34.82, already under the IPO price. Then they soared, closing at around $70 on Aug. 4, 2021,…