How to sell stock on Robinhood

To sell stock on Robinhood, open the app or website, find the stock in your portfolio, tap or click "Sell," enter the number of shares you want to sell, choose your order type (market or limit), and confirm. The sale executes during market hours — typically 9:30 a.m. to 4 p.m. Eastern time on weekdays. Cash from the sale lands in your Robinhood account immediately, but you cannot withdraw it for two business days due to settlement rules.

The process takes about two minutes once you know where to look. The main decision you will face is whether to use a market order (sells at the current price right away) or a limit order (sells only if the price hits a number you set). Most people use market orders for stocks they own outright, but limit orders give you more control if you are willing to wait.

Key Takeaways

  • Market orders sell your shares immediately at the current price; limit orders only sell if the stock reaches a price you specify.
  • Sales execute during market hours (9:30 a.m. to 4 p.m. Eastern, Monday through Friday), and after-hours orders sit until the market opens.
  • Cash from a sale appears in your account right away but cannot be withdrawn for two business days — this is a federal settlement rule, not a Robinhood rule.
  • You can only sell shares you actually own; you cannot short-sell on Robinhood's basic account.

Market orders versus limit orders

A market order sells your shares at whatever price the market is offering right now. If you own 10 shares of a stock trading at $50, a market order will sell all 10 shares at or very close to $50 per share. The order fills almost instantly during market hours. Use this when you want out quickly and do not care about getting the absolute best price.

A limit order lets you set a minimum price. If you own 10 shares of a stock trading at $50 but you want at least $52 per share, you set a limit order at $52. The shares will not sell unless the price reaches $52 or higher. The order can sit for days or weeks waiting for that price, and it may never fill if the stock never reaches your target. Use this when you are willing to wait and want to avoid selling at a price you think is too low.

Robinhood shows you the current bid price (what buyers will pay right now) before you confirm. If you use a market order, you will sell at or near the bid. If you use a limit order, you set your own price and wait.

Step-by-step: selling on the Robinhood app

Open the Robinhood app and tap the "Investing" tab at the bottom. Scroll through your portfolio or use the search bar to find the stock you want to sell. Tap the stock name or ticker symbol to open its detail page.

On the detail page, tap the "Sell" button (usually at the bottom or in a menu). Robinhood will ask how many shares you want to sell — enter the number. If you own 50 shares and want to sell 20, type 20. If you want to sell all of them, tap "All" or enter the full number.

Next, choose your order type. Tap "Market Order" to sell at the current price, or tap "Limit Order" to set your own price. If you choose limit, enter the price per share. Review the total dollar amount Robinhood shows you — this is what you will receive (minus any fees, though Robinhood does not charge commission on stock sales).

Tap "Review Order" and check the details one more time. Tap "Confirm" or "Submit" to send the order. During market hours, it executes within seconds. Outside market hours (before 9:30 a.m. or after 4 p.m. Eastern, or on weekends), the order waits until the market opens.

When your cash becomes available

The moment your sale executes, Robinhood shows the cash in your account balance. You can see it immediately in the app. However, you cannot withdraw that cash for two business days. This is not a Robinhood rule — it is a federal settlement requirement that applies to all brokers. The two-day period is called the settlement period.

If you sell on a Monday, the cash settles on Wednesday and you can withdraw it Wednesday evening or Thursday. If you sell on a Friday, the cash settles on Tuesday. Weekends and market holidays do not count as business days, so a Friday sale settles the following Tuesday, not Monday.

You can use the cash to buy other stocks before it settles, but you cannot move it to your bank account until the two days have passed. Robinhood will show a countdown timer or a note telling you when the cash will be available to withdraw.

Selling partial shares

Robinhood lets you sell fractional shares — meaning you can sell 5.5 shares or 10.25 shares, not just whole numbers. This matters if you own fractional shares from dividend reinvestment or from buying fractional shares in the first place.

When you enter the number of shares to sell, you can type a decimal. Robinhood will calculate the total value based on the current price. The same market order and limit order rules apply to fractional shares as to whole shares.

What happens if you have a margin account

If you have a Robinhood Gold or Robinhood Margin account, the selling process is the same, but the settlement rules are slightly different. With margin, you can use the proceeds from a sale to buy other stocks immediately, even before the two-day settlement completes. This is called buying power.

However, you still cannot withdraw cash to your bank account until settlement is complete. Margin accounts also charge interest on borrowed money if you use margin to buy stocks, so check your account settings to see whether margin is turned on. Most people do not need margin for basic stock selling.

Frequently Asked Questions

Can I sell stock after market hours?

You can place an order after hours, but it will not execute until the market opens the next day. If you place a market order at 6 p.m., it will sell at the opening price the next morning, which may be very different from the price when you placed the order. Limit orders placed after hours will wait until the market opens and then execute if the price reaches your limit.

What if I sell a stock and then want to buy it back right away?

You can buy it back immediately — there is no waiting period. However, if you sell a stock and buy it back within 30 days, the IRS treats it as a "wash sale" for tax purposes, which can affect your tax deduction for the loss. Talk to a tax professional if you are selling at a loss and buying the same stock back soon.

Do I pay taxes when I sell?

Robinhood does not withhold taxes when you sell. You owe capital gains tax on the profit (the difference between what you paid and what you sold for), and you report this on your tax return. Robinhood sends you a 1099 form at the end of the year showing your sales. Short-term gains (stocks held less than a year) are taxed as regular income; long-term gains (held a year or more) usually have a lower tax rate.

What if I try to sell more shares than I own?

Robinhood will not let you. The app will show you how many shares you own and will not accept an order for more than that number. If you try to type in a number larger than your holdings, it will either reject the order or automatically cap it at the number you own.

Can I cancel a sell order after I place it?

If the order has not executed yet, yes. Open the order in your app, look for a "Cancel" button, and tap it. Once the order executes (which happens almost instantly for market orders during market hours), you cannot cancel it — the stock is already sold. For limit orders that are waiting, you can cancel anytime before the price is reached.