Though smaller-cap indexes swung wildly, the S&P 500 has been a lot more confident, continuing to grind higher in 2025.
Unsurprisingly, Big Tech is pulling its weight, and AI momentum has shown no signs of fading.
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That said, one rising AI stock just cleared a massive milestone, and it's quietly stepping onto a bigger stage that will usher in a new growth phase for its business.
Why S&P 500 inclusion is a game-changer
For companies, getting into the S&P 500 isn’t just a flex; it’s a monumental event.
It’s like hitting the jackpot, as you’re not only thrown into the spotlight, but also unleashing billions in passive inflows from index funds.
Once companies get the green light from the S&P Dow Jones Indices committee, it’s game on, as traders, fund managers, and analysts don’t wait around.
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Companies need a minimum market cap of roughly $22.7 billion, robust liquidity (dollar volume to float above 0.75), and a minimum of 250,000 monthly trading volume.
On top of that, companies need at least a 10% public float, a U.S. headquarters, a major exchange listing, and yes, genuine profits in the last quarter and over the past year.
An S&P 500 inclusion doesn’t just mean a stock bump for companies. It brings more analyst coverage, attractive corporate optics, and even a lower financing structure.
In simple terms, the company hits the big leagues, which shows investors that the business has genuine staying power.
The index is up 6.6% so far in 2025; it’s comfortably outpaced the Dow, while tracking slightly behind the Nasdaq.
Generative AI and tech giants are doing all the heavy lifting, but consumer names haven’t dropped the ball, either.
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Despite the inflationary pressures and Fed uncertainty, pullbacks have been mostly shallow. Dips get snapped up quickly by investors who are hunting for value in places such as health care and utilities.
Compared to the chaos in smaller-cap names, the S&P’s healthy rise feels much more reliable.
That’s exactly the backdrop one “sleeper” stock just stepped into.
Trade Desk earns a big-league badge and a big bounce
The Trade Desk (TTD) just staked its claim to the S&P 500.
Trade Desk stock surged 14% on Monday after the digital adtech platform was tapped to join the S&P 500.
It replaced ANSYS ahead of its much-talked-about acquisition by Synopsys, with the move becoming official before markets open Friday, July 18.
For investors, that upgrade means fresh new capital will be funneling into The Trade Desk, whether markets like it or not.
The California-based company operates one of the most advanced AI-powered demand-side platforms (DSPs) in the market.
The platform enables advertisers to buy across multiple digital channels, from mobile and desktop to streaming TV in real time.
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Additionally, it gives brands full visibility into where every dollar goes, and users can efficiently target, measure, and optimize campaigns.
The real kicker? AI.
At the core of its platform is Koa, a tailor-made AI engine that crunches bid signals to predict which ads are likely to perform well.
It doesn’t just automate bidding — it adapts in real time to efficiently maximize return on investment.
And it’s not stopping there.
The Trade Desk recently launched cutting-edge new tools in tracking viewer behavior across screens, partnering with the leading streaming platforms while rolling out privacy-first identity tech with Unified ID 2.0.
What’s amazing is that despite the sluggishness in the ad market, The Trade Desk is growing. And now, with its S&P 500 inclusion, it’s now finally playing at a tremendous scale.
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