The basic steps to sell a stock in Robinhood

To sell a stock in Robinhood, open the app, find the stock in your portfolio, tap it, and select the sell button. You will then choose how many shares to sell, review the price, and confirm the order. The sale executes immediately during market hours, or queues as a market-open order if you sell after hours.

Robinhood does not charge a commission on stock sales. The price you see when you confirm is the price you will receive, minus any bid-ask spread — the difference between what buyers will pay and what sellers are asking. During normal trading hours (9:30 a.m. to 4 p.m. Eastern time on weekdays), this spread is usually small for stocks with high trading volume.

Once your sale settles — which takes two business days for stocks — the cash lands in your Robinhood account. You can then withdraw it to your linked bank account, use it to buy other stocks, or leave it sitting as cash.

Key Takeaways

  • Selling a stock takes four taps: find the stock, tap sell, enter the number of shares, and confirm the order.
  • Sales during market hours (9:30 a.m. to 4 p.m. Eastern, weekdays) execute at the price shown; sales after hours queue until the market opens.
  • Your cash becomes available to withdraw or reinvest two business days after the sale settles.
  • Robinhood charges no commission, but you pay the bid-ask spread — the gap between what buyers will pay and what sellers are asking.
  • If you sell at a loss, you may be able to use that loss to offset other investment gains on your taxes, though tax rules depend on your situation.

Market hours versus after-hours trading

Stock prices move constantly during the regular trading day (9:30 a.m. to 4 p.m. Eastern, Monday through Friday). If you sell during these hours, your order executes at the price displayed when you confirm. Robinhood shows you the current bid price — what buyers are offering right now — so you know what you will receive.

If you sell after 4 p.m. or before 9:30 a.m., your order enters a queue and executes when the market opens the next trading day. The price you see at the time you place the order is not may provide. The stock could open higher or lower, and your sale will execute at the opening price or the first price available after that. This uncertainty is why selling after hours carries more risk than selling during regular hours.

Robinhood also offers extended-hours trading (4 p.m. to 8 p.m. Eastern and 4 a.m. to 9:30 a.m. Eastern) for some stocks, but volume is much lower and spreads are wider. Most people sell during regular hours to avoid this risk.

Partial sales and selling all your shares

When you tap the sell button, Robinhood asks how many shares you want to sell. You can sell one share, half your position, or all of it. If you own fractional shares — pieces of a share that Robinhood lets you buy — you can sell those too by entering a decimal number.

If you want to sell everything at once, Robinhood offers a "Sell All" button that calculates your total shares automatically. This is faster than typing the number yourself, but double-check the quantity before you confirm, because once you tap confirm, the order is live.

Selling part of your position is useful if you want to lock in a gain on some shares while keeping others, or if you need cash but do not want to exit the stock entirely. There is no penalty for selling a partial position.

Understanding the price you receive

The price Robinhood shows you when you confirm a sale is the bid price — what buyers are willing to pay right now. This is not the same as the last price the stock traded at, and it is not the same as the asking price (what sellers want). The difference between the bid and the ask is called the spread.

For large, heavily traded stocks like Apple or Microsoft, the spread is usually just a penny or two per share. For smaller or less liquid stocks, the spread can be wider — sometimes 5 cents, 10 cents, or more. When you sell, you receive the bid price, so a wider spread means you get less than the asking price.

You cannot negotiate the price or wait for a better bid in Robinhood. When you confirm a market order (the default), it executes at the best available price at that moment. If you want to set a minimum price you will accept, you can use a limit order instead, which lets you name a price and waits until the stock reaches it — or cancels if it never does.

Limit orders versus market orders

A market order sells your shares immediately at the current bid price. This is the default and the fastest way to sell. You know the sale will happen, but you do not know the exact price until you confirm.

A limit order lets you set a minimum price. If you own a stock trading at $50 and you set a limit order to sell at $52, the order will not execute until the stock reaches $52 or higher. If the stock never reaches that price, your order stays open until you cancel it or it expires (usually at the end of the trading day).

Limit orders are useful if you want to avoid selling at a bad moment or if you are willing to wait for a better price. The trade-off is that your sale might not happen at all. Market orders may provide a sale but at an unknown price; limit orders may provide a price but not a sale.

What happens after you sell

When your sale executes, Robinhood shows it in your order history with a timestamp and the price. The cash from the sale is not immediately available to withdraw — it sits in your account as unsettled cash for two business days. During this settlement period, you can still use the cash to buy other stocks, but you cannot withdraw it to your bank account.

After two business days, the cash settles and becomes available for withdrawal. You can then transfer it to your linked bank account, which usually takes one to three business days depending on your bank. If you want to reinvest the money, you can buy new stocks immediately without waiting for settlement.

Robinhood sends you a confirmation email when your sale executes and again when it settles. Keep these records for your taxes, because you will need to report the sale and calculate your gain or loss.

Tax implications of selling stocks

When you sell a stock for more than you paid for it, you have a capital gain. When you sell for less, you have a capital loss. Both are taxable events, and the tax you owe depends on how long you held the stock.

If you held the stock for one year or less, any gain is taxed as short-term capital gain at your ordinary income tax rate — the same rate as your salary. If you held it for more than one year, any gain is taxed as long-term capital gain at a lower rate (0%, 15%, or 20%, depending on your income).

Capital losses can offset capital gains, and if your losses exceed your gains, you can deduct up to $3,000 of the loss against your ordinary income in a single year. Any loss beyond that carries forward to future years. Robinhood provides a tax report at the end of the year showing all your sales, but you are responsible for reporting them correctly on your tax return.

Frequently Asked Questions

Can I sell a stock immediately after I buy it?

Yes. Robinhood lets you buy and sell the same stock on the same day with no penalty. However, if you do this repeatedly using unsettled cash (cash from a recent sale), you may trigger the pattern day trader rule if your account is under $25,000. Check Robinhood's rules on day trading before you buy and sell frequently.

What if I sell and the price drops right after?

Once your sale executes, it is final. You received the price that was available when you confirmed. If the price drops afterward, that does not affect your sale — you locked in your price. This is one reason to use market orders during regular hours: you know the sale will happen immediately.

Can I cancel a sale after I confirm it?

If your order has not executed yet, you can cancel it. During regular market hours, most orders execute within seconds, so cancellation is usually not possible. After-hours orders that have not yet executed can be cancelled before the market opens. Once an order executes, it cannot be undone — you would have to buy the shares back separately.

Do I have to sell all my shares at once?

No. You can sell one share, some shares, or all of them. Robinhood lets you enter any quantity, including fractional shares. Selling a partial position does not cost extra or carry any penalty.

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

You can buy it back immediately. However, if you are using unsettled cash from the sale, be aware of the pattern day trader rule: if your account is under $25,000 and you buy and sell the same stock more than three times in five business days, Robinhood may restrict your account. Check your account balance and trading history before you trade frequently.