Robinhood Rockets 15% on S&P Inclusion, Yet Analysts Cite Strategy Gaps and Saylor’s Critique

Robinhood Rockets 15% on S&P 500 Inclusion; Strategy Slips Amid Bitcoin Exposure Concerns

Robinhood (HOOD) surged 15% on Monday following news of its upcoming inclusion in the S&P 500, the widely followed benchmark for U.S. equities. The announcement, made after Friday’s market close, will take effect with the index’s September 22 rebalance.

The trading platform, whose stock has nearly tripled this year, was long considered a strong candidate for S&P 500 inclusion and was among the largest eligible companies yet to be added.

Meanwhile, Strategy (MSTR), the bitcoin-focused firm, declined after being passed over despite meeting the S&P’s eligibility criteria for the first time this quarter. Strategy reported $14 billion in operating income and $10 billion in net income for Q2 2025. Analysts suggest the committee may have hesitated due to the company’s heavy exposure to bitcoin, a highly volatile asset.

MSTR shares were down 1.5% in late-morning trading.

Speaking to CNBC, Strategy CEO Michael Saylor said the company had not expected immediate inclusion. “We didn’t anticipate being selected in our first quarter of eligibility. We assumed it would happen eventually,” he noted.

Benchmark analyst Mark Palmer emphasized that S&P approval is not crucial for Strategy’s credibility. “The market has already validated their operating model,” he said.

TD Cowen analyst Lance Vitanca echoed this view, writing that inclusion “was never central to our investment thesis, though it remains a potential positive catalyst.”

Some market watchers speculate the S&P may be cautious about companies with significant bitcoin exposure. Vitanca added, “If the committee’s decision reflects deeper philosophical or economic concerns, those may ease over time.”