Michael Saylor’s Strategy Misses S&P 500 as MSTR Stock Falls

TLDR

• Michael Saylor’s company Strategy was not included in the latest S&P 500 index update.
• The decision caused MSTR stock to fall by about 2 percent in after-hours trading.
• Robinhood, AppLovin, and Emcor Group were added to the index in the latest rebalancing.
• Robinhood shares rose more than 7.5 percent after the inclusion announcement.
• Strategy was widely expected to be added due to its market size and liquidity.

MicroStrategy, led by Executive Chairman Michael Saylor, failed to secure a place in the latest S&P 500 index update. The index committee announced its quarterly changes on Friday, leaving out Strategy despite strong investor expectations. MSTR stock fell nearly 2% in after-hours trading following the announcement.

MSTR Stock Drops After Index Snub

S&P Global confirmed the inclusion of Robinhood Markets, AppLovin, and Emcor Group in the S&P 500 index. These additions will take effect before the market opens on September 22. MSTR stock, which was a widely expected contender, did not make the cut.

Following the news, Robinhood shares jumped over 7.5% in extended trading, closing at $108.90. AppLovin shares also gained, reflecting investor enthusiasm over index inclusion. Emcor Group saw moderate gains, aligning with the index effect often observed in such updates.

*APPLOVIN, ROBINHOOD, EMCOR GROUP TO JOIN S&P 500 INDEX

— James Seyffart (@JSeyff) September 5, 2025

ETF analyst James Seyffart said, “Index additions often spark buying from funds and ETFs that track the S&P 500.” This shift usually supports stock prices. The announcement spurred activity across markets immediately after the close.

S&P Committee Overlooks Strategy Again

Investors had anticipated Strategy’s entry based on its market cap and strong liquidity profile. MSTR stock had rallied in recent weeks on expectations of S&P 500 inclusion. The omission surprised many bullish traders, leading to swift post-market declines.

Strategy remains the largest corporate Bitcoin holder, with billions in crypto reserves. Recently, a class action lawsuit against Strategy over Bitcoin accounting was dropped. Despite the legal relief, the crypto exposure remains a concern for index decision-makers.

Jeff Park, CIO at ProCap BTC, explained the likely rationale. “The S&P committee doesn’t just look at metrics,” he stated. “They focus on broader market dynamics and company positioning.” MSTR stock, while strong in numbers, still faces skepticism from traditional institutions.

The reason I knew MSTR was not going to get into the index better than anyone else is because I understand incentives better than anyone else from my own lived experiences.

It was my job at Bitwise to pitch crypto to institutions. I know exactly how they work. I know what it…

— Jeff Park (@dgt10011) September 5, 2025

Saylor’s Policy Shift Fails to Impress

Park highlighted that inclusion decisions reflect structure and not media narratives. He noted that investors often misread the S&P’s priorities. “It’s never just about what Strategy does,” Park added, emphasizing a broader selection process.

The committee reviews company fundamentals and sector competition before adjusting index composition. Park pointed out that Robinhood’s positioning gave it a clear advantage. MSTR stock, tied closely to Bitcoin, likely raised volatility concerns.

Michael Saylor recently shifted Strategy’s issuance policy, though analysts believe it had little impact on the committee’s view. Despite this cycle’s result, Strategy remains under review for future consideration. Until then, MSTR stock may continue trading with high sensitivity to Bitcoin.