Robinhood Markets, Inc, has been chosen to join the S&P 500 index on September 22. This shift is a big deal for the company. This news comes after a jaw-dropping 13.8% jump in its stock earlier today in pre-market trading. Early investors have reason to be optimistic as the fintech company is having one of its strongest years since its IPO in 2021. In addition to Robinhood, AppLovin and Emcor Group will be joining the benchmark index, increasing their profile in the marketplace.
Since its IPO in 2021, Robinhood has been at the center of the retail trading revolution. It particularly gained notoriety during the “meme stock” explosion earlier this year. The company’s platform has facilitated easy access to trading, attracting a younger demographic eager to engage in the stock market. Make no mistake, Robinhood’s road to success has been paved with obstacles of its own. Earlier this year, the Securities and Exchange Commission (SEC) investigated the firm, but that investigation has been terminated.
Robinhood’s stock performance has been highly volatile since the company’s IPO. Such volatility has certainly affected the confidence of potential investors. In 2023, the company came back with a loss of 61 cents a share which sent jolts of concern through stakeholders. Even so, after this slip up, Robinhood bounced back in 2024, making an unexpected profit of $1.56 per share. The good news went all the way through 2025. Wall Street analysts are already preparing for earnings to come in at around $1.64 per share as we close out the year.
Related Robinhood should close the year at $12.74 per share. 2025, the opposite has happened and it’s skyrocketed and today trades at well over $100 per share, tripling in value! This remarkable recovery can be attributed to several factors, including the government’s hands-off approach to cryptocurrency regulation during President Donald Trump’s administration, which provided a favorable environment for companies like Robinhood.
