Robinhood's Market Cap Soars to Over $90 Billion Following S&P 500 Inclusion, Validating Early Investor Sequoia Capital

MENLO PARK, CA – Robinhood Markets, Inc. (HOOD) has seen its market capitalization exceed $90 billion, a significant milestone that follows its recent inclusion in the S&P 500 index. This surge underscores the platform's remarkable growth since its early funding rounds, notably validating the foresight of venture capital firm Sequoia Capital, which led a key investment when Robinhood's valuation was considerably lower.

Sequoia Capital notably led Robinhood's Series F funding round in May 2020, investing $280 million at an $8.3 billion valuation. Subsequent closings later increased this round to $600 million, pushing the post-money valuation to $8.6 billion. The recent financial performance and market recognition of Robinhood appear to confirm the early confidence placed by investors like Sequoia.

The venture capital firm has a storied history of identifying and backing transformative companies in their nascent stages. As stated in a recent social media post by Amit, "Sequoia led the Robinhood Series F for $280M back in 2020. They were also one of the earliest names in Apple & Google decades ago." This highlights Sequoia's consistent track record of investing in companies that go on to achieve significant market influence and valuation.

Robinhood's journey from a commission-free trading app to a major financial services platform has culminated in its inclusion in the prestigious S&P 500, effective before market open on September 22. This move is anticipated to further boost demand for its stock as index-tracking funds adjust their portfolios. Robinhood's shares have more than doubled this year, reaching a market capitalization of approximately $91.5 billion, according to LSEG data.

The company's continued expansion, including offerings in stocks, ETFs, options, gold, and cryptocurrencies, alongside educational resources, positions it as a significant player in democratizing finance. The substantial increase in market value since Sequoia's 2020 investment solidifies Robinhood's trajectory as one of the venture firm's most successful and "storied investments."