The Trade Desk Joins S&P 500 Amid Bitcoin Surge and Stock Options Boom

ARLINGTON, VA — In a significant development for investors, The Trade Desk, an advertising technology company, is set to join the S&P 500 on July 18, 2025. This move follows recent news that semiconductor company Synopsis has cleared the way for a $35 billion acquisition of another S&P 500 member. The addition of The Trade Desk (TTD) reflects its growing influence in the tech sector.

Motley Fool CEO Tom Gardner and contributors Jon Quast and Matt Frankel discussed the implications of this change in a recent podcast episode. While the inclusion in the S&P 500 doesn’t directly impact the company’s business operations, it signals growing recognition among institutional investors. Matt Frankel pointed out that index funds track the S&P 500 and will consequently increase their holdings of TTD shares, putting upward pressure on the stock price.

The Trade Desk has seen a remarkable transformation since its initial public offering in 2016. Despite facing challenges earlier this year, including a 68% drop in share price following a guidance miss, it has rebounded significantly and is now valued at around $40 billion. Tom Gardner shared insights on the company’s impressive 2,600% growth since it became public, crediting its strong leadership and innovative approach to programmatic advertising.

The podcast also highlighted the recent surge in Bitcoin‘s popularity among institutional investors, with companies like Similar Scientific acquiring large amounts of the cryptocurrency. Gardner noted that Bitcoin is transitioning from a speculative asset into a legitimate investment, with increasing institutional backing. He emphasized the potential for Bitcoin’s value to rise significantly in the coming years, particularly if monetary policies remain loose.

In addition, the podcast addressed a sharp rise in stock options trading, particularly on platforms like Robinhood, where trading activity has increased dramatically. Matt Frankel suggested that this interest is often driven by speculation and noted that many investors may be engaging in higher risk gambling rather than informed trading. Tom Gardner advised caution, suggesting that investors should consider more stable investment opportunities in the current market.

As the earnings season heats up, both hosts expressed their excitement for identifying potential ‘hidden gems’ that could outperform the market. Their recommendations range from well-established companies like Progressive Corporation to emerging players such as Xometry, an AI-powered manufacturing marketplace, indicating diverse investment opportunities in the current market climate.