S&P Dow Jones Indices announced that The ODP Corporation will be removed from the S&P SmallCap 600 index, effective April 2. This decision was made because ODP's market capitalization is no longer considered representative of the small-cap market space.
The removal from the index means that funds tracking the S&P SmallCap 600 will no longer hold ODP shares. This can lead to selling pressure as passive funds rebalance their portfolios.
ODP's market capitalization was $436.8 million as of the close of trading on March 25. The company has been actively pursuing a strategy to expand beyond office supplies, with its ODP Business Solutions division growing in the hospitality industry.
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