Coinbase Global Inc. (NASDAQ:COIN), the largest U.S. crypto exchange, is set to join the S&P 500, replacing Discover Financial Services (NYSE:DFS) in the benchmark index, according to a Monday announcement.
What Happened: The inclusion of Coinbase in the S&P 500 will become effective before trading begins on May 19, according to a press release shared by S&P Dow Jones Indices.
With this, Coinbase becomes the first company with cryptocurrency as its core business to enter the coveted index that holds some of the most valued stocks in the world, including Microsoft Corp. (NASDAQ:MSFT) and Apple Inc. (NASDAQ:AAPL).
Coinbase went public on April 14, 2021, through a direct listing on the Nasdaq under the ticker COIN. The company boasted a market capitalization of nearly $53 billion as of this writing.
Discover, which will be delisted, had a 0.10% weight in the index, according to Slickcharts.
See Also: Why Is This Dogecoin Clone Surging On Monday Morning?
“This milestone represents what the true believers, from retail investors to institutional investors to our employees and partners, knew all along,” said CEO Brian Armstrong.
The company reported disappointing first-quarter financial results last week, missing the revenue and earnings expectations.
Price Action: Shares of Coinbase popped 10.9% in after-hours trading after closing 3.96% higher at $207.22 during Monday’s regular trading session, according to data from Benzinga Pro. Year-to-date, the stock has lost 16.54% of its value.
As of this writing, COIN ranked high on growth, an indicator of a stock’s combined historical expansion in earnings and revenue across multiple periods. To check how other cryptocurrency-related stocks stack up against COIN, visit Benzinga Edge Stock Rankings.
Photo Courtesy: Mehaniq On Shutterstock.com
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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.