Existing studies have reported that Robinhood investors are attracted to stocks with high idiosyncratic volatility. These firms have relatively focused or less diversified business models; hence, the high idiosyncratic risk. More importantly, the focused business model of these firms makes them easier to analyze.

Sure, or maybe Robinhood users just wanna gamble.

In this study, we conjecture that these young and less experienced Robinhood users are likely also attracted to simple firms. Simple firms have relatively focused or less diversifies business models. We argue that simple firms attract RH users because their business operations and accounting information are easier to analyze and understand. The time and skill needed to weave through the financial disclosures of simple firms is lower.

I dunno: I figure the typical Robinhood user is not reading financials. They're che king out r/wallstreetbets. If they're getting into financials, they're probably willing to look at complicated ones as well.