S&P Dow Jones Weighs 6-Month S&P 500 Track for $1 Trillion AI IPOs
Updated
Updated · The Motley Fool · Jun 4
S&P Dow Jones Weighs 6-Month S&P 500 Track for $1 Trillion AI IPOs
3 articles · Updated · The Motley Fool · Jun 4
Summary
Three AI IPOs expected this year — Anthropic, SpaceX and OpenAI — could debut at $1 trillion to $2 trillion valuations, prompting S&P Dow Jones to consider speeding their path into the S&P 500.
The index provider is consulting on cutting the public-trading requirement to six months and waiving the profitability test for megacaps, a key hurdle because SpaceX and OpenAI remain unprofitable.
Those companies together lost more than $25 billion last year, even as Anthropic is expected to post its first quarterly profit in the second quarter.
Early inclusion would force S&P 500 index funds and other passive investors to sell existing holdings to make room for the newcomers, creating a major rebalancing across portfolios tied to the benchmark.
Nasdaq already approved a similar fast-entry change in March, and FTSE Russell is also consulting on adjustments, signaling broader index-rule shifts ahead of the AI listing wave.