Robinhood Stock Drops 1.98% with $46.31 Billion Trading Volume Ranking 12th After Missing S&P 500 Inclusion

On June 9, 2025, Robinhood Markets (HOOD) experienced a 1.98% decline in its stock price, with a trading volume of $46.31 billion, ranking 12th in the day's market activity.

Robinhood's stock price dropped significantly after it was not included in the S&P 500 index. Investors had high expectations for the company's inclusion, which would have brought substantial benefits, including increased exposure to index-tracking funds and ETFs. The disappointment led to a sharp decline in the stock price, erasing the gains made in the previous week.

Despite the setback, Robinhood has shown strong performance in 2025, with its stock price nearly doubling due to increased engagement on its platform and a positive outlook on cryptocurrencies. The company faced challenges after the crypto winter following the fall of FTX, but it has since regained momentum as digital asset prices rise and stocks become more attractive.

Robinhood's current strength is comparable to or even surpasses its position a year ago, without relying on the S&P 500 inclusion. However, companies not included in the index face limitations in short-term growth and rewards, particularly from passive investors and rising prices. The market's reaction to the S&P 500's unchanged status was muted, but Robinhood's stock experienced significant volatility upon the news.

Looking ahead, Robinhood continues to offer more services, increase its user base, and operate in the intersection of finance and technology. The company's financials are improving, and the markets remain supportive. There is still potential for Robinhood to be added to the S&P 500 in future rebalances, provided it maintains its upward trajectory in earnings and market capitalization. For now, the path to this milestone will require sustained performance and patience.