Coinbase to make S&P 500 for the first time; The shares jump 10 % in post-market trading-TradingView news
Coinbase (Nasdaq: Coin) was set to join the S&P 500 on May 19, 2025. The index traces the 500 largest companies listed in the United States in the United States across various sectors, including financing, technology, health care and more. Coinbase will be included in the financial data sector.
Discover Financial Services, which is obtained by Capital One. Once the acquisition is closed, Discover is expected to be removed from public markets.
An immediate gathering of two numbers
After the announcement yesterday (Monday) after the market was closed, Coinbase’s shares jumped by about 10 percent. The assembly added to an increase of 4 percent in the shares of metal currencies earlier in the day due to the improvement of market morale while alleviating the fears of the trade war.
Coin stock movement in another month (Source: Google Finance)
Although Coinbase’s shares still decreased by 27 percent over the past six months, they gained more than 17 percent last month (except for the last rise after the market).
Benefits of being S& P 500
As of March 31, the S&P 500 represented the total market value of about $ 49.8 trillion. This standard index is on its weight, which means that companies with larger assessments-such as Microsoft, Apple and NVIDIA-have a greater impact on the performance of the index. On the contrary, the smaller ingredients, especially those that were classified at the bottom of 400 depending on the size, carry a much lower weight. These companies, where Coinbase is likely to be placed, usually represents only 0.01 % to 0.2 % of the index for each.
Coinbase has just become the first and only company to join the S&P 500.
This teacher represents what real believers know, from retail investors to institutional investors to our employees and partners, all the time.
The encryption here to stay. https://t.co/nmrcx8pmg
Despite its limited individual impact, they collectively support the general diversification of the index.
Adding it to the S&P 500 brings several benefits to any company. The most urgent is the increased demand for their shares. This happens because all the index tracking funds-such as traded investment funds and mutual investment funds-must buy the stock, usually lead to a high trading volume and sometimes in the stock price.
Inclusion can also attract more institutional investors. Many funds are limited to investing only in the S&P 500 shares, so it can join the index on the capital in the long run and the benefit of a wider investor.
Meanwhile, Coinbase recently agreed to obtain a coding options platform in a $ 2.9 billion deal. The deal includes $ 700 million in cash and 11 million shares of regular shares from Coinbase Class A.
https://s.tradingview.com/static/images/illustrations/news-story.jpg
