SoFi Has Quietly Met the Bar for S&P 500 Inclusion. Here's What Index Entry Could Do for the Stock.

SoFi Technologies (SOFI) has cleared a critical milestone for S&P 500 inclusion after posting 10 consecutive quarters of positive net income. The fintech company's market cap stands at $22.2 billion, just shy of the typical $22.7 billion threshold, positioning it as a potential candidate for the September index rebalancing after being passed over in June.

Meeting S&P 500 technical requirements sets up a significant catalyst for the stock. Index inclusion would force billions in passive inflows as ETFs tracking the benchmark must buy SOFI shares to maintain their allocations. This mandatory buying pressure historically drives short-term price appreciation for newly added stocks.

The 10-quarter profitability streak marks a turning point for SoFi, which spent years as a high-growth, unprofitable fintech. The company now sits on the cusp of joining the S&P 500, a designation that would cement its status as an established financial institution rather than a speculative growth play.