Shares of advertising technology firm AppLovin and stock trading platform Robinhood Markets surged roughly 7% each in extended trading after S&P Global announced that both companies will join the S&P 500 index. The changes are set to take effect before the start of trading on September 22, with AppLovin replacing MarketAxess Holdings and Robinhood taking the spot of Caesars Entertainment.
Inclusion in the S&P 500 is typically positive for stocks, as fund managers must buy shares to reflect the updated index composition. AppLovin and Robinhood, both publicly listed on Nasdaq since 2021, stand to benefit from increased institutional demand and heightened investor attention. The S&P 500 already features a significant concentration of large technology companies, with Datadog and DoorDash having joined earlier this year.
AppLovin has attracted investor interest for its advertising software, which delivers targeted ads to mobile apps and games. The company saw remarkable gains in recent years, with shares rising 278% in 2023 and over 700% in 2024, though 2025 has seen more modest growth, with a 51% increase as of the last close. Earlier this year, AppLovin made headlines by offering to acquire TikTok’s U.S. operations from ByteDance, a move that has faced repeated deadline extensions from U.S. authorities.
Robinhood, meanwhile, has become a favorite among retail investors, particularly those active in meme stocks such as AMC Entertainment and GameStop. Despite some past setbacks, including a June exclusion from an S&P 500 quarterly rebalancing that saw its shares slip 2%, the company now achieves its long-anticipated index inclusion. During Robinhood’s annual meeting in June, CEO and co-founder Vlad Tenev acknowledged that joining the S&P 500 was challenging to predict but believed the company met the eligibility requirements.
The decision comes after short-seller Fuzzy Panda Research recommended in March that AppLovin be excluded from the index. AppLovin shares had fallen 15% in December when the S&P committee added Workday instead. In contrast, the companies they are replacing, MarketAxess and Caesars, have faced year-to-date declines, down 17% and 21%, respectively, reflecting challenges in fixed-income trading and the hospitality and casino sectors.
The inclusion of AppLovin and Robinhood signals a continued focus on technology and fintech within the S&P 500, highlighting investor appetite for innovative, growth-oriented companies. With both firms now set to join one of the world’s most closely watched indices, market participants anticipate a boost in trading volumes and broader attention from both institutional and retail investors, reinforcing the potential for sustained interest in these high-profile stocks.
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