Robinhood shares fell on Monday after online brokers took over in the latest S&P 500 rebalance, ending weeks of hopes of winning spots on the benchmark index.
As reported by CNBC, in pre-market trading, Robinhood's share price slid almost 5%. It jumped to 3.3% on Friday, pushing last week's profits to over 13%. This announced that the S&P 500 lineup will remain the same after the S&P Dow Jones index ends.
At the same time, other major stocks, including electric car maker Tesla, fell, and received 2% infiltration. Musk's Robotaxi plan is “a little too optimistic,” so Baird moved Tesla's inventory from “buy” to “neutral” on the priority list. “Substantial uncertainty” about Elon Musk's relationship with Trump makes things worse.
According to Boa, Robinhood was a major contender for joining the S&P 500
Quarterly rebalancing, which usually takes place on the third Friday of each quarter's final month, often drives billions of dollars in transactions. Passive funds tied to the index usually buy a large amount of companies added on subsequent days.
The most recent winner of this process was Crypto Exchange Coinbase, which saw its shares jump 24% in the session after its inclusion was revealed last month.
Still, Robin Hood is enjoying a strong comeback this year. That stock almost doubled, reaching a new record high last week amid new strengths in both stocks and cryptocurrency. The company lost favour after Gamestop Trading Frenzy in 2021 declined and the collapse of FTX caused a decline in digital assets.
Meanwhile, Robinhood Markets, Inc. completed its acquisition of BitStamp on May 2, 2025, and completed its first announced transaction in June 2024. The $200 million transaction was paid entirely in cash.
Based in Luxembourg, BitStamp is one of the oldest and most respected cryptocurrency exchanges with a wide international range and a loyal client base. Robinhood says the purchase is a key step in its plan to expand its presence in the global crypto market.
