Shares of the US online brokerage firm Robinhood Markets Inc (NASDAQ:HOOD) saw a notable increase of over 6% in aftermarket trading on the Friday following an announcement from S&P Global’s S&P Dow Jones Indices. The firm revealed that Robinhood would be included in the widely recognized S&P 500 index.
This inclusion is scheduled to take effect on September 22, marking an important moment for Robinhood as the index undergoes its quarterly rebalancing. Being classified as an S&P 500 company carries a certain prestige, and it typically drives demand for shares, as institutional funds and investors that track the index will begin purchasing Robinhood stock.
Prior to the announcement, Robinhood shares closed at $101.25, down by 1.6% for the day. Following the news released after 5 PM EDT, the share price surged more than 6%, surpassing the $107 mark.
In terms of performance, Robinhood’s shares have experienced significant growth in 2025. They have appreciated by 172% year-to-date, although they have seen a slight decline from their peak of $117.70 reached the previous month, shortly after the company published its Q2 2025 financial results.
This surge in share price can be attributed to the anticipated influx of buying interest from various investment funds that track the S&P 500, as they will nearly be compelled to acquire shares of Robinhood to maintain their investment strategies aligned with the index.